Moneycontrol PRO
Upcoming Event:Attend Algo Convention Live, 2 Days & 12+ Speakers at best offer Rs.999/-, exclusive for Moneycontrol Pro subscribers. Register now!

Hold Entertainment Network (India); target of Rs 184: Prabhudas Lilladher

Prabhudas Lilladher recommended hold rating on Entertainment Network (India) with a target price of Rs 184 in its research report dated May 08, 2022.

May 12, 2022 / 01:18 PM IST
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

Prabhudas Lilladher's research report on Entertainment Network (India)


We cut our FY23E/FY24E EBITDA estimates by 21%/9% respectively due to general weakness in ad-environment and slower yield recovery. Going ahead, revival in radio business will be led by volumes which have shown signs of improvement (capacity utilization in legacy/batch-1/batch-2 stations stood at 74.7%/31.4%/26.5% respectively in FY22). In order to diversify out of radio business (low growth market), ENIL is taking steps to increase exposure to core solutions & digital business which is expected to form ~50% of the top-line in FY25E.


Outlook


On digital front, Mirchi app has already been unveiled in international markets and India launch is expected by May end. While Mirchi’s diversification efforts are commendable we await green shoots on delivery front and retain HOLD on the stock with a TP of Rs184 (earlier Rs200). Our TP is based on 50% weight to EV/EBITDA methodology with per share value of Rs93 (5x FY24E EBITDA; no change) and 50% weight to DCF approach with per share value of Rs92.


For all recommendations report, click here

Close

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: May 12, 2022 12:57 pm
Sections
ISO 27001 - BSI Assurance Mark