Khambatta Securities has given Buy recommendation for Ramkrishna Forgings with a target price of Rs. 802 in its research report issued on May 18, 2021
Khambatta Securities’ research report on Ramkrishna Forgings
Ramkrishna Forgings Limited (RKF) is a manufacturer of forged, rolled and machined components, supplying to OEMs and automotive part manufacturers. RKF’s products are used across automotive and industrial applications. Almost 90% of the company’s revenues come from the automotive sector (principally the CV segment) while exports account for 45% of revenues.
Assigning a target multiple of 18.0x FY23E EPS, our valuation generates a price target of ₹802, informing a BUY rating with an upside potential of 26%.