Phoenix Mills surges over 5% as HSBC sees stock at Rs 500
The stock jumped 5.44 per cent to hit a high of Rs 382.45 on BSE. Even at this price, the target price suggests a potential upside of 31 per cent within one year.
By ETMarkets.com |
NEW DELHI: Shares of The Phoenix Mills jumped over 5 per cent in Thursday’s trade after foreign brokerage HSBC made a buy call on the stock with a target price of Rs 500.
The stock jumped 5.44 per cent to hit a high of Rs 382.45 on BSE. Even at this price, the target price suggests a potential upside of 31 per cent within one year.
In a note, the brokerage said the company may benefit from rental renewals, new area additions, strong brands and falling cost of funds. Malls are seeing traction, it said, adding that consumption & rental income is growing at 20 per cent for Pune and Bangalore.
“Phoenix Mills rental income grew 12 per cent YoY even though demonetisation hurt the sentiment,” it noted.
The company has recently acquired further shares in its subsidiary, Gangetic Hotels. The effective shareholding of the company in the arm has increased to 74.11 per cent from 42.98 per cent.
The stock jumped 5.44 per cent to hit a high of Rs 382.45 on BSE. Even at this price, the target price suggests a potential upside of 31 per cent within one year.
In a note, the brokerage said the company may benefit from rental renewals, new area additions, strong brands and falling cost of funds. Malls are seeing traction, it said, adding that consumption & rental income is growing at 20 per cent for Pune and Bangalore.
“Phoenix Mills rental income grew 12 per cent YoY even though demonetisation hurt the sentiment,” it noted.
The company has recently acquired further shares in its subsidiary, Gangetic Hotels. The effective shareholding of the company in the arm has increased to 74.11 per cent from 42.98 per cent.
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