ICICI Direct's research report on Affle 3i
We view Affle 3i (Affle) as a play on the structural shift of ad spend towards digital in India and other emerging markets, where digital penetration is still low versus global benchmarks. Its differentiated CPCU (cost per converted user) model directly aligns revenues with advertiser ROI, offering resilience versus impression-led peers. Over the medium term, we believe Affle could sustain ~20% revenue CAGR, supported by rising CPCU realisations, international expansion, and scaling of new verticals such as CTV. We estimate EBITDA margins to be resilient in the 22–24% range. Conversely, downside is limited by its strong operating cash flows, providing a balanced risk-reward profile.
Outlook
We initiate coverage on Affle with a BUY rating and a target price of INR 2,280. We think, at CMP, the reward-risk is skewed 2:1 in favour of BUY.
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com 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.
