Kotak Securities is bullish on Himatsingka Seide has recommended buy rating on the stock with a target price of Rs 290 in its research report dated April 18, 2019.
The exclusive licensing rights to the Royal Velvet brand is for the territory of North America.
While the rupee’s depreciation against the dollar in recent times could offer some respite to home textile majors, the near-term outlook for the sector as a whole is far from promising.
Edelweiss is bullish on Himatsingka Seide has recommended buy rating on the stock with a target price of Rs 421 in its research report dated May 29, 2018.
Going into FY19, revenue contribution from brands, asset turns of existing and new capacities, and regional diversification by foraying into new geographies will be pivotal to the company's success.
"Till Nifty holds 10,350 levels decisively, bounce back from lower levels cannot be ruled out and on higher end stiff hurdle seen around 10,490 mark," says Rajesh Agarwal of AUM Capital.
Operating leverage, backward integration, capacity addition (for terry towels), risk diversification, and increased emphasis on sale of brands are the key moats that make Himatsingka Seide a good investment proposition.
Net Sales are expected to increase by 9 percent Y-o-Y (up 7.2 percent Q-o-Q) to Rs. 573.5 crore, according to Edelweiss.
The company continues to leverage on its fundamental strengths optimally, as evident from the numbers in the quarter gone by.
Net Sales are expected to increase by 5.2 percent Q-o-Q (up 27.9 percent Y-o-Y) to Rs 614.5 crore, according to Edelweiss. Himatsingka Seide to report net profit at 48.8 crore up 7.6% year-on-year.
Top-line growth, backward integration, brand associations, and asset-light retailing are the pivotal growth drivers for the company.
Kunal Saraogi of Equityrush is of the view that one may buy Indraprastha Gas with a target of Rs 1140.
Ashwani Gujral of ashwanigujral.com recommends buying Avanti Feeds, Himatsingka Seide and Ashok Leyland.
The board of directors of the company at its meeting held today "considered and approved the appointment" of Halbe, who is presently the CFO of Himatsingka America Inc, a 100 per cent subsidiary of Himatsingka Seide Limited.
Ashwani Gujral of ashwanigujral.com is of the view that one can sell Just Dial, NMDC and Wockhardt and can buy Aditya Birla Nuvo and HDFC.