This Large Cap Consumer Durable Stock Hits 52 Week High, Buy For 18% Return, Says BoB Capital

BoB Capital places a buy on Polycab India Ltd. with a target price of Rs. 3,900/share. If you buy the stock at the current market price, considering the given target price, it can give up to 16% gains.

Polycab India is a consumer durable sector stock. It is India's leading manufacturer of cables and wires and allied products. The company has a range of cables and wires for practically every application. It is a large-cap stock having a market capitalisation of Rs. 50,618.84 crore.

Maintain BUY with a target price of Rs. 3,900/share

BoB Capital said, "We remain optimistic on Polycab's growth prospects considering the moats in its core W&C business, growth in FMEG and B2C expansion. We raise our FY24/FY25 EPS estimates by 15%/18% to build in the strong FY23 performance and bright outlook. On rolling valuations to Mar'25E, our TP rises to Rs 3,900 (vs. Rs 3,300), based on an unchanged 35x P/E - 50% premium to the 3Y mean. BUY."

Stock Overview

The current market price of Polycab India is Rs.3,381.20/share, down 0.23% from its previous close of Rs. 3,388.95/share. The stock hit the 52 week high on 15 May 2023 at Rs. 3400/share and a 52-week low on 20 June 2022 at Rs. 2043.85/share, respectively.

The stock has given 3.63% in the past 1 week, and 9.63% in 1 month, respectively. It has given a 33.08% positive return in the past 1 year. It has given 388.75% in the past 5 years. It has given 416.37% positive return since its listing. It was listed on 16 April 2019.

Disclaimer - The stock has been picked from the brokerage report of BoB Capital. 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 consult with certified experts before making any investment decision.