Buy Arvind Ltd., target Rs 362.0 : CLSA

CLSA has Buy call on Arvind Ltd. with a target price of Rs 362.0. The current market price of Arvind Ltd. is 309.25. Time period given by analyst is year, when Arvind Ltd. price can reach defined target. The branded apparels business reported a strong 26 per cent YoY growth with a 4.3 per cent like-to-like (LTL) growth. The management highlighted that 'unlimited' stores achieved cash break-even with 16 per cent LTL for 1QFY17. The volume-led growth in woven and garments led to beat in textiles business revenues. Arvind is looking to aggressively pare debt through the sale of non-core assets and is also looking for JV opportunities with global companies in technical textiles.