Motilal Oswal has given Neutral recommendation for Balkrishna Industries with a target price of Rs. 2120 in its research report issued on May 15, 2022
Motilal Oswal’s research report on Balkrishna Industries
BIL’s 4QFY22 operating performance was better than expected, despite a greater freight cost, due to higher than estimated price hikes. Near term headwinds are many (higher input and freight cost and a weak EUR:INR), which will keep its performance under check. We upgrade our FY23E/FY24E EPS by 7.5%/4% to account for higher volumes and realizations.
We maintain our Neutral rating with a TP of INR2,120 per share (~22x Jun’24E EPS).