Moneycontrol PRO
Live Now |Super25 3.0- India’s Largest Online Stock Traders Conference brought to you by Moneycontrol Pro & Espresso

Buy UTI Asset Management Co; target of Rs 1248: YES Securities

YES Securities is bullish on UTI Asset Management Co has recommended buy rating on the stock with a target price of Rs 1248 in its research report date April 27, 2022.

April 28, 2022 / 09:11 PM IST
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

YES Securities' research report on UTI Asset Management Co


Operating expenses evolved negatively for the quarter due to a variety of factors: Employee cost was Rs 0.74bn in 4QFY21, which increased to Rs 1.15bn in 4QFY22, a difference of Rs 0.41bn. Rs 0.33bn of this differential was due to variable pay. Other opex was an extra Rs 0.16bn compared with quarterly average run rate for 9MFY22. Rs 0.07bn of the extra cost came from additional trail fees, Rs 0.02bn from charges paid to PFRDA, Rs 0.02bn from payment to BCG and Rs 0.04bn from cost related to digital initiatives. On the positive side, 96 employees are expected to retire over FY23-24. The saving due to this would amount to Rs 0.41bn and about half of this would come in FY23. Overall revenue yield for domestic business was maintained at 41 bps, similar to levels seen in 3QFY22: The yield for the domestic equity business is 85-90 bps. The yield for the international business is about 55 bps.



Outlook


We maintain ‘BUY’ rating on UTI with a revised price target of Rs 1248: We value UTI at 23x FY23 P/E for an FY21-24E EPS CAGR of 19.8%

Close

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.



Download your money calendar for 2022-23 here and keep your dates with your moneybox, investments, taxes

Broker Research
first published: Apr 28, 2022 09:11 pm
Sections
ISO 27001 - BSI Assurance Mark