Antique Stock Broking maintains buy on Indian Hume Pipe, target price Rs 399

Antique Stock Broking has maintained buy rating on Indian Hume Pipe Co. in the long term with a target price of Rs 399. The stock ended up 0.25% at Rs 282.20 on Thursdaywhile the BSE Sensex closed 396.22 points up at 38,989.74.

Company Financials

For the quarter ended 30-06-2019, the company has reported standalone sales of Rs 463.19 crore, down -10.46% from last quarter sales of Rs 517.33 crore and up 39.13% from last year same quarter sales of Rs 332.93 crore. The company has reported net profit after tax of Rs 20.94 crore in the latest quarter.

Investment Rationale


Indian Hume Pipe is a leader in the water supply industry with a track record built up over the past ninety two years, said Antique. Speedier implementation of smart cities would add impetus to order inflows, said Antique. Allocation of Rs 22,400 crore in the Union Budget towards drinking water and sanitation including Swachh Bharat Abhiyan augurs well for the order book with a number of water supply, sewerage and drainage schemes being implemented, the brokerage said.