Motilal Oswal, HSBC Give Buy Call To Large Cap Retail Stock, TP Rs 4600

Two leading brokerage firms Motilal Oswal and HSBC have assigned buy call to large cap retail stock, Avenue Supermarts. HSBC has given buy call to DMart retail chain operator Avenue Supermarts with target price of Rs 4600 apiece and Motilal Oswal has recommended investors to buy Avenue Supermarts shares with target price of Rs 4400 apiece. Last trading price of Avenue Supermarts share on BSE is Rs 3933.85 per share. Avenue Supermarts stock declined 3.26% year-to-date and offered return of 5.68% in last 3-months. Check details below:

HSBC Recommends Buy Call: HSBC has recommended buy call on the DMart stock with target price of Rs 4,600. If you buy Avenue Supermarts stock at last trading price of Rs 3933.85, you can fetch potential upside of 16.93%. While the Avenue Supermarts business model is formidable, the firm needs assortment overhaul and network strategy reset, said the brokerage.

The analyst said the Q3FY24 sales growth remained below the pre-Covid Levels. Despite a sequential dip in Q3FY24 sales growth to 17% on-year, the report noted an improvement in throughput.

Motilal Oswal Recoomends Buy Rating: Motilal Oswal has assigned buy call to Avenue Supermarts share with target price of Rs 4400 per share. If you buy Avenue Supermarts shares at last trading price of Rs 3933.85, you can obtain likely return of 11.85%.

Avenue Supermarts Stock Performance & Return: The 52-week high price of Avenue Supermarts stock on BSE is Rs 4203 apiece and 52-week low price is Rs 3292.65 per share, respectively. Avenue Supermarts has a market capitalisation of Rs 2,55,988.63 crore. Avenue Supermarts shares declined 3% in last 1-year, fell 17% in last 2-years, and offered return of 41% in last 3-years. In last 5-years, Avenue Supermarts stock surged 150%.

Avenue Supermarts Financials: Earlier on January 2, Avenue Supermarts stated in BSE filing its standalone revenue from operations for the quarter ended December 31, 2023 soared 17.19% to Rs 13,247.33 crore. As of December, the company had a total of 341 stores. The company's revenue surge in the quarter was primarily influenced by an 11% surge in store count, averaging out to a robust estimate of 7% same store sales growth (SSSG).

Disclaimer:

The stock has been picked from the brokerage report of Motilal Oswal and HSBC. 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.