Avenue Supermarts shares fell 1.5 percent in morning on April 12 after global brokerage house Morgan Stanley initiated coverage with underweight rating on the stock.
Its base case target price for the stock is at Rs 1,120 per share, implying 24 percent downside from current levels.
In bear case, target price is at Rs 700 while in bull case the target is at Rs 1,850 per share.
The stock was quoting at Rs 1,468.00, down Rs 9.25, or 0.63 percent, on the BSE, at 10:29 hours IST.
Morgan Stanley said DMart has a standout business model but there are headwinds emerging. "Competition is rising and retail is becoming an infinite game."
Competition means risks to same-store-sales-growth, operating margins and stock valuations, it said, rising competition may blunt DMart's first-mover advantage.
Disclaimer: The above report is compiled from information available on public platforms. Moneycontrol advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
