Accumulate D P Abhushan; target of Rs 446: Arihant Capital

Arihant Capital's research report on D P Abhushan

D P Abhushan (DPAL) during its Q3FY22 reported another quarter of strong topline as well as bottom-line growth driven by festive and wedding season demand. However, some margins pressure was there during the quarter due to increased material cost. Sales of the company are expected to continue to be strong on the back of i) improved consumer sentiment, ii) Wedding season demand, iii) consumer shift from unorganized to organized jewellery players.

Outlook

We reiterate our Buy rating with a revised TP of INR 446.