172@29@17@151!~!172@29@0@53!~!|news|business|stocks|buy-cyient-target-of-rs-780-icici-direct-2554649.html!~!news|moneycontrol|com!~!|controller|infinite_scroll_article.php!~!is_mobile=false
Moneycontrol
FREE virtual training session on Passive Income Secrets: October 24 and 25, 2020, 10am to 1pm. Register Now!
Last Updated : Apr 23, 2018 04:46 PM IST | Source: Moneycontrol.com

Buy Cyient; target of Rs 780: ICICI Direct

ICICI Direct is bullish on Cyient has recommended buy rating on the stock with a target price of Rs 780 in its research report dated April 23, 2018.

Broker Research
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

ICICI Direct's research report on Cyient


US$ revenues grew 8.3% QoQ to $164.6 million, above our 7.6% QoQ growth and $163.5 million estimate Revenues in rupees grew 8% QoQ to Rs 1061.8 crore, above our Rs 1052.3 crore estimates EBITDA margins fell 50 bps QoQ to 14.1%, below our 30 bps decline, 14.3% estimate mainly due to higher material cost (up 76% QoQ) Reported PAT of Rs 118.4 crore was above our Rs 96.1 crore estimate on account of lower-than-expected tax rate (ETR of 21.3% as a percentage of PBT vs. our estimate of 28%) and higher other income (Rs 40.8 crore vs. Rs 27.3 crore in Q3FY18) The company declared a final dividend of Rs 4/share taking the full year dividend to Rs 13 per share.


Outlook


Cyient reported Q4FY18 numbers wherein revenues were above our estimates mainly on account of higher-than-expected growth in the Rangsons business. A positive outlook for services and DLM, traction across business verticals would lead to strong earnings growth of 16.5% CAGR during FY18-20E. We upgrade Cyient to BUY rating on the back of sustained earning growth momentum and revise our target price to Rs 780.


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.

First Published on Apr 23, 2018 04:46 pm
Sections