Buy GNA Axles; target of Rs 946: Sharekhan

Sharekhan's research report on GNA Axles

Operating performance was in line with estimates in Q4FY23. European market is stable for GNA, while facing headwinds in the North American market. EBITDA margin is expected to be sustained in the range of 14.5%-15%. The stock is trading at P/E of 10.8x and EV/EBITDA of 6.6x its FY2025E estimates.

Outlook

We maintain our Buy rating on GNA Axles Limited (GNA) with a revised PT of Rs. 946, driven by expectation of 9.7% earning CAGR over FY23-25E, stable margin and attractive valuation.

For all recommendations report, click here