Top Brokerage Firm Bullish On This Textile Stock, Assigned "Buy" For Strong 42% Upside

Vardhman Textiles Ltd, a midcap stock from the textiles sector, gets a "Buy" call from Emkay global, a leading brokerage firm. The brokerage firm has assigned a target price of Rs 440/share to the stock, implying a potential upside of 42% from its current level. The stock's market valuation is Rs 8,943.54 crore. Check below to know more:

Vardhman Textiles' stock outlook and returns

The stock of Vardhman Textiles on NSE currently trading at Rs 311/share, down 0.70% compared to its previous close. The stock today opened at Rs 313.15/share, while its previous close was Rs 313.20/share.

It has fallen 1.59% in the past 1 week, and 7.37% in the past 3 months, respectively. In the past 1 year, it has fallen 40.24%. However, in the past 3 years, it gained 43.74% and in the past 5 years, it gained 13.08%.

It recorded the 52-week low on 20 June 2022 at Rs 245.50/share and 52 week high on 15 March 2022 at Rs 2,822/share, respectively.

 

The brokerage recommends "Buy" stock with a target price of Rs 440/share

According to Emkay Global, The company reported a sharp drop in EBITDA for the quarter (down 73% YoY and 52% QoQ) on account of high-cost cotton inventory at the end of Q2FY23 and correction in yarn prices in Q3FY23. "We maintain our BUY recommendation, with Dec-23E TP of Rs 440, as we believe earnings have bottomed out," the brokerage has said.

 

Disclaimer

The stock has been picked from the brokerage report of Emkay Global. 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.