Logistics Stock Declares Rs 2 Dividend, 25.28% Gain In Net; Buy For TP Rs 1025: Motilal Oswal

Small cap logistics solutions provider, Transport Corporation Of India Ltd on Wednesday recommended final dividend of Rs 2/share for the FY ended March 31, 2024. The company announced a jump of 25.28% in its net profit to Rs 102.10 crore for the quarter ended March 2024 as compared to Rs 81.50 crore declared in the preceding quarter ended March 2023. Current market price of Transport Corporation Of India share is Rs 896.55 per share. TCI share gained 34% in last 1-year.

Meanwhile, Motilal Oswal has recommended buy call to Transport Corporation Of India share with target price of Rs 1025 per share. FII/FPI have increased holdings from 2.61% to 2.67% in March 2024 quarter. Tata Multicap Fund has 1.52% stake in Transport Corporation with 1,182,332 shares of the company. More details below:

Transport Corporation Of India Declares Dividend: As per the BSE filing of Transport Corporation Of India dated May 15, "recommended a final of dividend of 100% i.e. Rs. 2/- per Equity Share for the FY ended 31st March 2024. The dividend, if approved by the shareholders in the 29th AGM, will be dispatched/credited within 30 days of AGM."

Transport Corporation Of India Q4 Results: It declared its sales surged 10.17% to RS 1078 crore for the quarter ended March 2024 as compared to Rs 979.30 crore declared in the similar quarter of last year. For the whole year, the company's net profit zoomed 10.56% to Rs 350.80 crore for the year ended March 2024 as compared to Rs 317.30 crore declared in March 2023. Sales zoomed 6.39^ to Rs 4024 core for the year ended March 2024 as compared to Rs 3782.60 crore during the previous year ended March 2023.

Motilal Gives Buy: According to the analyst, "TRPC benefits from a diverse customer base, mitigating the risks associated with over-reliance on specific clients or industries. The improving share of LTL services within the Road Freight division is a positive sign for TRPC. LTL services generally offer higher margins and can contribute significantly to the company's overall profitability. We expect TRPC to achieve a CAGR of 15%/20%/18% in revenue/EBITDA/PAT over FY24-FY26. We reiterate our BUY rating on the stock with a TP of INR 1,025, based on 17x FY256 EPS."

Transport Corporation Of India Share Performance: The 52-week high price of Transport Corporation Of India share on BSE is Rs 1080.00 per share (as on 01/02/2024) and 52-week low price is Rs 637.50 per share (as on 22/05/2023), respectively. The company has a market capitalisation of Rs 6,970.17 crore. Transport Corporation Of India shares offered return of 8% year-to-date, zoomed 36% in last 2-years, and soared 227% in last 3-years. In last 5-years, Transport Corporation Of India stock rallied 211%.

Disclaimer: The stock has been picked from the brokerage report of Motilal Oswal. 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.