Like Century Plyboards, target Rs 205: Pankaj Pandey

Pankaj Pandey of ICICIdirect told CNBC-TV18, "On Century Plyboards, we have a target price of Rs 205. The reason why we like the stock is just that this company has been doing well in plywood and laminate segment. So, in the past five years they have grown their earnings by 18 odd percent. Within the overall industry if you look at this company has got a market share of 25 percent odd and we expect the overall dynamics of the entire sector to sort of change also wherein we would expect the overall players to gain more foothold into the overall market.""They have a market share of 25 percent and we expect that as and when the Goods and Services Tax (GST) rolls out the migration towards the organised player would intensify and we expect that migration to sort of happen by 2020 wherein both organised and unorganised players will have 50 percent market share of the overall pie," he said."This company has been doing well historically and we expect growth to further intensify because the company is setting up a capacity of Medium-density fibreboard (MDF) of about 1,80,000 cubic metres and which is expected to be operational in January 2017 and which is why we expect this company to sort of keep delivering 19 percent kind of topline and similar bottom-line growth with similar margins."