HomeNewsBusinessStocksBuy Eros International Media; target of Rs 101: Dalmia Securities

Buy Eros International Media; target of Rs 101: Dalmia Securities

Dalmia Securities is bullish on Eros International Media has recommended buy rating on the stock with a target price of Rs 101 in its research report dated October 29, 2018.

November 05, 2018 / 13:18 IST
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Dalmia Securities's research report on Eros International Media

Eros International Media Ltd (Eros) was established in 1994 and is the Indian subsid-iary of the NYSE listed Eros International Plc (Eros Plc). Eros has over the years built up a 2000+ Film Library across various genres, generations and languages like Hindi, Tamil, Telugu, Kannada, Marathi, Bengali, Malayalam and Punjabi. Eros delivers strong Q2 FY19 results post weak Q1 FY19 numbers; PAT margins expand on the back of other income.

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Outlook

At CMP, the share is trading at EV/EBITDA of 2.0x and PE of 2.0x FY20E EPS. Cur-rently, stock is trading at ~78% discount to 5 year average PE. We recommend a BUY on Eros with a target price of INR 101, based on 3x FY20E EPS implying 41% return from current levels.