Accumulate Jain Irrigation Systems; target of Rs 139: Centrum

Centrum's research report on Jain Irrigation Systems

Jain Irrigation Systems Ltd (JISL), for Q3FY18 on a consolidated basis, reported good numbers. Revenue increased by ~31% YoY to Rs1,890 crore, on the back of ~49% growth in the Hi-tech Agri Input Products Division (52% of Q3FY18 revenue), 22% growth in the Plastics Division (25%) and 6% growth in the Agro Processing Division (20%).

Outlook

We believe the long term triggers are intact and maintain our Accumulate rating. We have introduced FY20E estimates and value the company at 14x FY20E EPS giving us a target price of ₹139. For all recommendations report, click here

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