Khambatta Securities has given Buy recommendation for Vishwaraj Sugar Industries with a target price of Rs. 211 in its research report issued on Jun 11, 2021

Khambatta Securities’ research report on Vishwaraj Sugar Industries

Vishwaraj Sugar Industries Limited (VSIL), a Karnataka-based integrated sugar company producing sugar, power, ethanol and alcohol-based vinegar. The company’s production facility is located at Bellad Bagewadi, Belgaum District in Northwest Karnataka, which is classified as a high recovery zone for sugar. VSIL has a cane crushing capacity of 10,500 tonnes/day. Low-cost proprietary sugar-refining process will enable VSIL move up the product value chain as expanded facilities are expected to operate at full capacity over the next couple of years.


The VSIL stock currently trades at an attractive forward P/E level of 26.4x FY23E EPS. At 35.0x FY23E EPS, we rate VSIL a BUY with a target price of Rs 211 and an upside potential of 33%.