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Budget 2021

Associate Partners:

  • SMC
  • Samsung
  • Volvo

Moneycontrol

Budget 2021

Associate Partners:

  • SMCSamsungVolvo
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Buy Lumax Auto Technologies: target of Rs 148: Sharekhan

Sharekhan is bullish on Lumax Auto Technologies has recommended buy rating on the stock with a target price of Rs 148 in its research report dated January 04, 2021.

January 14, 2021 / 08:51 PM IST
 
 
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Sharekhan's research report on Lumax Auto Technologies


We expect Lumax Auto to benefit from the recovery in the two-wheeler and four-wheeler industry, a diversified portfolio, richer product mix and increase in content per client. We expect Lumax Auto’s earnings to grow by 59.1% in FY2022E and 26.5% in FY2023E, driven by a 20.2% CAGR during FY2021E-23E and a 140-bps improvement in EBITDA margin. Stock is attractively valued at a P/E multiple of 10.8x and EV/EBITDA multiple of 5.4x its FY2023 estimates.


Outlook


We maintain our Buy rating on Lumax Auto Technologies Limited (Lumax Auto) with a revised PT of Rs. 148, factoring in better multiples owing to a strong traction in business outlook.


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.

Broker Research
first published: Jan 6, 2021 09:21 am

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