Sharekhan's research repor on Asian Paints
Asian Paints Limited (APL) registered healthy performance. Revenue grew by 6%; OPM improving by 474 bps to 23.6% and strong growth of 36% at PBT level. Volume growth in the domestic decorative business stood at 11%, ahead of our and street expectation of 7%-8%. The stock is currently trading at 59.2x/49.3x its FY2022/23E EPS. Leadership position in the domestic decorative paint industry, sturdy balance sheet, and good dividend pay-out will keep valuations at premium level. We have fine-tuned our earnings estimates to factor better-than-expected performance.
Outlook
We retain our Buy recommendation with a revised PT of Rs. 2,475.
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!
