Stock To Buy: ICICI Direct Sees This Small Cap Stock Soaring, Buy For TP Rs 220

ICICI Direct has recommended investors to buy small cap stock operating in Hospitals & Allied Services sector, Shalby Ltd with a target price of Rs 220 apiece. Board of Shalby on May 18 recommended a dividend of Rs 1.20 per equity share of face value of Rs 10/- each. The dividend, if approved at the AGM, will be paid on or after August 19, 2023. If you buy Shalby shares at last market price of Rs 188.55 per share, you can get potential return of 17%. Check details below:

Shalby Stock Performance & Return: Last trading price of Shalby share is Rs 188.55 apiece with intraday gain of 5.34%. The stock traded new 52-week high on July 14, 2023. The stock's 52-week high price is Rs 192.00 per share and 52-week low price is Rs 108.20 per share, respectively. Its market capitalisation is Rs 2036.52 crore. In last 1-month, Shalby stock offered return of 32%, rallied 27% in last 3-months, and gave 73% return in last 1-year. Shalby shares jumped 161% in last 3-years.

Shalby Financial Performance: The company for the quarter ended March 31, 2023 declared its consolidated total income at Rs 208.16 crore, up .80% from preceding quarter total income of Rs 206.50 crore. It announced its net profit after tax at Rs 13.90 crore in the latest quarter.

Shalby Valuation: According to ICICI Direct, "We assign BUY rating on the back of 1) strong arthroplasty legacy and diversification into other super-specialties 2) asset light model via franchisee drive, 3) expansion of implant business into newer geographies besides stronger India and US traction. We value Shalby at Rs 220 based on SOTP valuation."

About Shalby: Started by renowned orthopaedic surgeon Dr Vikram Shah, Shalby is a multi-specialty hospitals chain with expertise in joint replacement. It came into existence in 2004. Shalby is a market leader in arthroplasty procedure with ~15% market share of all joint replacement surgeries by organised private corporate hospitals.

Disclaimer: The stock has been picked from the brokerage report of ICICI Direct. 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.