Axis Direct recommended hold rating on Voltas with a target price of Rs 320 in its research report dated February 27, 2017.
Axis Direct's research report on Voltas
Unitary cooling segment (45% of revenue) was hit by demonetization (short-term impact); however, we remain hopeful of it recovering given under-penetration in room air conditioners and higher disposable income. We expect AC business to maintain 13% EBIT margin given rational marketing spend and cost controls.
Maintain HOLDwith TP of Rs 320 (20x FY18E EPS). Our FY17 and FY18 EPS stand at Rs 12 and Rs 15.
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First Published on Mar 1, 2017 10:45 am