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    Buy Bharat Forge, target price Rs 810: Emkay Global Financial Services

    Synopsis

    The brokerage retained Buy with a TP of Rs810 (Rs840 earlier), based on 24x P/E for the standalone business on Jun'24E EPS (25x Mar'24E earlier). Our target P/E multiple has reduced due to an increase in the cost of equity and a reduction in margin assumptions over the medium term in our DCF model.

    Bharat Forge
    Emkay Global Financial Services has buy call on Bharat Forge Ltd. with a target price of Rs 810.0. The current market price of Bharat Forge Ltd. is Rs 676.7 Time period given by analyst is year when Bharat Forge Ltd. price can reach defined target.

    Bharat Forge Ltd., incorporated in the year 1961, is a Large Cap company (having a market cap of Rs 31543.63 Crore) operating in Auto Ancillaries sector.

    Bharat Forge Ltd. key Products/Revenue Segments include Steel Forgings, Scrap, Export Incentives, Job Work, Dies & Tools and Wind Mills for the year ending 31-Mar-2021.

    Financials
    For the quarter ended 31-03-2022, the company has reported a Consolidated Total Income of Rs 3656.05 Crore, up 50.54 % from last quarter Total Income of Rs 2428.64 Crore and up 71.23 % from last year same quarter Total Income of Rs 2135.23 Crore. Company has reported net profit after tax of Rs 242.56 Crore in latest quarter.

    Investment Rationale:
    The brokerage r
    etained Buy with a TP of Rs810 (Rs840 earlier), based on 24x P/E for the standalone business on Jun'24E EPS (25x Mar'24E earlier). Our target P/E multiple has reduced due to an increase in the cost of equity and a reduction in margin assumptions over the medium term in our DCF model.

    Promoter/FII Holdings
    Promoters held 45.25 per cent stake in the company as of 31-Mar-2022, while FIIs owned 19.8 per cent, DIIs 23.54 per cent.



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    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
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