Buy Mrs Bector Food Specialties; target of Rs 1810: Anand Rathi

Anand Rathi is bullish on Mrs Bector Food Specialties has recommended buy rating on the stock with a target price of Rs 1810 in its research report dated August 17, 2025.

Broker Research

August 21, 2025 / 15:29 IST

buy

26 Aug, 2025 12:21

Volume

Todays L/H

Anand Rathi's research report on Mrs Bector Food Specialties

With 8% y/y revenue growth (vs the Street’s 11%) and Rs582m EBITDA (Rs639m), Mrs Bector Foods’ Q1 was below estimates on muted demand amid high input costs, though growth improved q/q. Domestic biscuits grew in high single digits; management targets double-digit growth in coming quarters, while the Bakery category continued to report strong growth (up 19% y/y) aided by English Oven (65% volume-led growth). Exports, however, were hit by order delays in the US, supply issues and inventory in transit. Management is upbeat about its premium, healthled innovation pipeline, including ‘Nature Bake’. and expects EBITDA margins of 14% from Q2 on easing costs and duty cuts, supported by market-share gains, geographic expansion (Kolkata, Maharashtra) and the new Indore plant capacity coming on stream.

Outlook

We maintain a Buy with a 12-mth Rs1,810 TP, 45x Sep’27e EPS (earlier Rs1,875, 48x FY27e EPS).

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