Geojit has given Reduce recommendation for Astra Microwave Products with a target price of Rs. 150 in its research report issued on Jun 26, 2021
Geojit’s research report on Astra Microwave Products
Astra Microwave products Ltd (AMPL) is leading designer and manufacturer of wide array of radio frequency systems, microwave chips, microwave based components and subsystems for Defence, Telecom and Space. Q4FY21 Revenue grew by 38% YoY, largely due to strong execution. EBITDA margin improved by 9.1% to 18.2% and PAT grew by 133% YoY on account of higher execution & lower cost.
Outlook
AMPL is trading at 1 Year forward P/E of 33x which seems to be at significant premium compared to historical valuation of 19x. We value AMPL at P/E 28x on FY23E and downgrade to Reduce with a target price of Rs150.