Moneycontrol PRO
UPCOMING EVENT:Attend Traders Carnival Live. 3 days 12 sessions at Rs.1599/-, exclusive for Moneycontrol Pro subscribers. Register now!

Buy Transport Corporation of India; target of Rs 490: ICICI Direct

ICICI Direct is bullish on Transport Corporation of India has recommended buy rating on the stock with a target price of Rs 490 in its research report dated May 27, 2021.

June 10, 2021 / 11:43 AM IST
  • bselive
  • nselive
Todays L/H

ICICI Direct's research report on Transport Corporation of India

TCI reported a strong set of Q4FY21 numbers. Revenues grew a strong 27% YoY (11% QoQ) to Rs 797 crore. Seaways segment reported strong growth both sequentially (up 25%) and YoY (up 24%), followed by the freight division (up 18% QoQ, 20% YoY) and SCM division (flat QoQ, up 41% YoY, due to low base in Q4FY20). EBITDA margins expanded 147 bps YoY to 10.7%, mainly due to a combination of higher gross margins (19.5% vs. 19% in Q4FY20), lower employee to sales ratio (5.3% vs 6% in Q4FY20) and lower other expense ratio. The resultant EBITDA grew 48% YoY to Rs 86 crore. Further, PAT grew 69% YoY to Rs 53 crore (exceptional expense of Rs 3.5 crore due to impairment in wind power plant and investment in a subsidiary, impacted profitability to certain extent).


We value the stock at Rs 490/share (SOTP basis) (earlier Rs 320) and maintain BUY rating.

For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on are their own, and not that of the website or its management. advises users to check with certified experts before taking any investment decisions.

Broker Research
first published: Jun 1, 2021 10:22 am

stay updated

Get Daily News on your Browser
ISO 27001 - BSI Assurance Mark