Astral Up 3 Days In A Row; Here’s Why!

Astral Ltd., an India-based pipe company, is abuzz in the trading session today after Investec has come out with a report on it. Investec has reiterated it’s ‘Buy’ rating on the stock with a target price of Rs. 2500/share. This implies an upside potential of ~8% from the current levels. New product launches, geographical diversification, potential synergies from pipes-adhesives merger to aid growth hereon. High competitive intensity in the paints segment could lead to margin contraction/modest revenue growth into FY24/25. But in contrast, Astral has established loyalties amongst plumbers, architects and has the potential to win in attractive categories like Bathware, Valves, Tanks. They continue to assign a premium target multiple to Astral, reflecting widened TAM and eco-system in place to enable it. To know more, listen in.Read More