Emkay has given Buy on the stock with a revised price target (PT) o recommendation for Crompton Greaves CE with a target price of Rs. y is bullish on Crompton Greaves CE has recommended buy on the stock with a revised price target (PT) of Rs. 490 in its research report issued on Jan 31, 2022
Though the channel inventory remains higher than last year, with the diminishing impact of Covid, management is confident of a strong recovery in sales in February and March. Q3 GM print is sustainable, as the company has booked inventory in advance. We have tweaked our estimates and have reduced FY22-24E EPS by 1-5%. We retain Buy but slightly cut our TP (Mar’23E) from Rs 515 to Rs 490 (38x Mar’24E EPS). Our target PE is derived using a two-stage DCF model.