ICICI Direct has given Hold recommendation for Greenply Industries with a target price of Rs. 215 in its research report issued on Aug 05, 2021
ICICI Direct’s research report on Greenply Industries
Greenply Industries (GIL) enjoys a leadership position in the plywood business with 26% of the organised plywood market in India. It has a distribution network of 2,300+dealers/authorised stockists and a retail network exceeding 6,000 and 50+ physical and virtual branches pan-India. It is foraying into the MDF boards business with greenfield manufacturing set-up at Vadodara, Gujarat of 800 CBM/day (capex of ~Rs 548 crore) with revenue potential of ~Rs 600 crore per annum at its peak utilisation
Outlook
We maintain our HOLD rating on the company We value GIL at Rs 215/share (at 22x FY23E P/E).