Sharmila Joshi of Peerless Securities told CNBC-TV18, "VIP Industries in terms of target price it is not much lower than where it is currently because this has been a stock that has kind of reflected overall despondency with the midcap space, with the way business for them was growing, etc and those pressures continue to show."
She further added, "You have seen that dip coming in margins, you have seen that hard luggage has not moved too much for them and the fact that their handbag segment that they have launched is going to take a couple of more quarters to stabilise. As well as the promotional expenses on that are going to be quite high. So, all things put together it is not looking like a company that is back on a good growth trajectory so to speak." "Considering the fact that both TTK Prestige as well as VIP Industries where you would look at them from a similar sector you would have to say that VIP Industries has not put in a very good performance. So, again in terms of stock price maybe 5-7 percent lower from where it is currently but in terms of numbers it was definitely a miss." Disclosure: I don’t personally hold any of the stock discussed.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!
