LKP Research's research report on Craftsman Automation
Craftsman Automation Ltd (CAL) reported consol revenues of ₹11 bn v/s ₹9.8 bn, a growth of 13% yoy and a fall of 2.2% qoq. The results were subdued due to weak performance by the Powertrain business. EBITDA increased by 10% yoy and fell by 6% qoq. Margins declined by 80 bps qoq and 50 bps yoy on weak margins at Powertrain business and Industrial segment. PAT declined by 12%/13.6% yoy and qoq respectively due to underperformance at the operating level. In FY24, revenues/EBITDA/PAT grew by 40%/29%/34% respectively.
Outlook
We estimate the consolidated revenues/EBITDA/PAT to grow at a CAGR of 21%/21%/25% in the period between FY23-26E. We therefore reiterate a BUY on the stock its attractive valuations (19.2x FY 26E earnings). We value the stock at 22x with a target price of ₹5,055.
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.