Motilal Oswal Recommends Diversified Stock To Buy For Gain, Target Price Rs 1165

Motilal Oswal has recommended investors to buy Piramal Enterprises shares with target price of Rs 1165 per share. Current market price of Piramal Enterprises stock is Rs 939.70 per share with intraday fall of 1.70%. Piramal Enterprises shares gave 37% return in last 3 months and declined 3% in last 1-year. If you buy Piramal Enterprises share now, you can fetch potential return of 24%. Check details below:

Piramal Enterprises Stock Performance & Return: Current market price of Piramal Enterprises share is Rs 939.70 per share on BSE. Its 52-week high price is Rs 1202.73 per share and 52-week low price is Rs 630.20 per share, respectively. The large cap stock has a market capitalisation of Rs 22,427.23 crore. Piramal Enterprises shares gave return of 15% in last 6-months, declined 32% in last 2-years, and again gave return of 15% in last 3-years.

Piramal Enterprises Dividend This Year: Earlier this year on May 5, 2023, the Board recommended a Final Dividend of Rs. 31/- (Rupees Thirty-One) per equity share of face value of Rs. 2/- each (i.e. @ 1550%) for the financial year ended 31st March, 2023, which shall be paid/dispatched after the 76th Annual General Meeting, subject to approval of the shareholders of the Company.

The company fixed June 16, 2023 as the record date.

Valuation: According to Motilal Oswal, "With a high capital adequacy ratio of 31% and proceeds from a potential stake sale in Shriram Finance later this year, PIEL will have its task cut out to decide whether to utilize the excess capital on the balance sheet for any inorganic opportunities or find means to return it to shareholders. We model an FY25E RoA/RoE of 2.1%/~6.0%. We have a target multiple of 0.8x P/BV for the lending business. Reiterate BUY with a TP of INR1,165 (premised on Mar'25 SoTP)."

Piramal Enterprises About: Piramal Enterprises Ltd. (PEL) is a leading diversified Non-Banking Financial Company (NBFC) registered with Reserve Bank of India (RBI), with presence across retail lending, wholesale lending, and fund-based platforms. The company has investments and assets worth ~$10 billion, with a network of over 300 branches across 25 states/UTs. PEL has built a technology platform, which is driven by artificial intelligence (AI), with innovative financial solutions that cater to the needs of varied industry verticals. PEL has steered dynamic business growth over the three decades of its existence, staying focused on both organic as well as inorganic growth strategy, according to its official website.

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