Moneycontrol
Get App
Last Updated : Feb 27, 2019 04:21 PM IST | Source: Moneycontrol.com

Buy Firstsource Solutions; target of Rs 55: ICICI Direct

ICICI Direct is bullish on Firstsource Solutions has recommended buy rating on the stock with a target price of Rs 55 in its research report dated February 05, 2019.

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

ICICI Direct's research report on Firstsource Solutions


Revenues from operations grew 3.2% QoQ to Rs 985.2 crore (below our 4.2% growth and Rs 994.5 crore estimate). Revenues in constant currency grew 0.9% QoQ EBITDA margins declined 10 bps QoQ to 13.8% (vs. our estimate 14.6%) mainly on account of higher other expenses (up 9.1% QoQ) Reported PAT rose 5.7% QoQ to Rs 98.1 crore mainly on the back of lower tax rate (11.4% as percentage of PBT vs. 14.4% in Q2FY19)


Outlook


At the CMP, it is trading at valuations of 8x FY21E EPS. Hence, we maintain our BUY rating with a revised target price of Rs 55 (9x FY21E EPS).


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 Feb 27, 2019 04:21 pm
More From
Loading...
Sections
Follow us on
Available On
PCI DSS Compliant