Motilal Oswal has set a price target of Rs 350 per share, implying an upside of about 42 percent from the last closing price.
Crompton says that it is well-prepared for the summer, having stocked up on fans and air coolers to prevent a repeat of last year’s supply challenges. The company currently holds about 28 per cent of the market share in the category.
The company's focus on expanding market share and increasing the proportion of premium products within its fan and lighting portfolios is expected to yield significant results. Additionally, restructuring efforts in the Butterfly business aim to position it as a customer-centric innovative brand. By focusing on Agri and solar pumps, premium ceiling lights, and accessories, and launching innovative BLDC fans, Crompton is well-placed to grow its market share.
History shows us, over and over, that bull markets can go well beyond rational valuation levels as long as the outlook for future earnings is positive - Peter Bernstein
Over the past 12 months, shares of Crompton Greaves Consumer Electricals jumped 40 percent in trade.
In the March quarter, air conditioners were the best performing consumer durables category, with the industry growing in excess of thirty percent.
The focus on premiumisation through new product launches led to improved saliency across categories
At close, the Sensex was up 253.31 points or 0.34 percent at 73,917.03, and the Nifty was up 62.30 points or 0.28 percent at 22,466.10.
Crompton Greaves has been a steady player in delivering a healthy performance and growing better than the industry, said experts.
All orders are expected to be completed within 120 days since the order was issued, the company said in a regulatory filing on March 14.
The company's revenue came in at Rs 1,693 crore, increasing 11.6 percent
The company's consolidated revenue from operations is Rs 1,782 crore, rising 4.8 percent.
About 2,015 shares advanced, 1,486 shares declined, and 155 shares remained unchanged