Buy Multibagger Small Cap Retail Stock For Return Up To 29%, 20% Dividend: Anand Rathi

Anand Rathi has picked small cap retail sector stock, Kewal Kiran Clothing Ltd with target price of Rs 588 apiece. The current market price of the stock is Rs 456.20 per share after intraday decline of 1.44%. If you buy Kewal Kiran Clothing shares now at the current market price, you can get likely return of 29%. Kewal Kiran's FY23 revenue grew 28% y/y its EBITDA margin rose ~300bps to 19.5%. Check details below:

Kewal Kiran Clothing Ltd Stock Performance & Return: The stock's last trading price is Rs 456.20 per share on BSE. The stock's 52-week high price is Rs 592.35 per share and 52-week low price is Rs 178.50 per share, respectively. The company's market capitalisation is Rs 2,811.34 crore. The stock gave return of 113% in last 1-year, 175% in last 2-years, and 187% in last 3-years.

Kewal Kiran Clothing Ltd Declared Dividend: As per the BSE filing of the company, "The Board of Directors have in their meeting held on April 27, 2023 declared a 2nd interim dividend @ 20% i.e Rs. 2/- per share on 6, 16,25, 185 equity shares of Rs. I 0/- each for the financial year 2022-23 and that the date of payment of the said interim dividend will be on or after May 20, 2023." The record date for the dividend is May 11, 2023.

Kewal Kiran Clothing Valuation: According to Anand Rathi, "We upgrade our rating to Buy with a 12-mth TP of Rs588, 15x FY25e EV/EBITDA. We are optimistic about the company for its better return ratios and comfortable liquidity. Risks: Keener competition trimming volume and realisation growth, fluctuations in raw material prices."

Kewal Kiran Clothing About: Incorporated in 1981, and headquarted in Mumbai, Kewal Kiran Clothing Limited today is amongst the few large branded apparel manufacturers in India. The company has consumers in Asia, Middle East and CIS. The company designs, manufactures and markets branded jeans, and a wide range of apparel and lifesyle products for men and women, according to its official website.

Disclaimer:The stock has been picked from the brokerage report of Anand Rathi. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.