Buy Astral, target price Rs 2115: Axis Securities

Axis Securities has buy call on Astral with a target price of Rs 2115. The current market price of Astral is Rs 1931.15.

Astral, incorporated in the year 1996, is a Mid Cap company (having a market cap of Rs 38889.58 Crore) operating in Plastics sector.

Astral key Products/Revenue Segments include Plastic Products and Other Operating Revenue for the year ending 31-Mar-2022.


Financials
For the quarter ended 31-12-2022, the company has reported a Consolidated Total Income of Rs 1265.80 Crore, up 6.81 % from last quarter Total Income of Rs 1185.10 Crore and up 14.54 % from last year same quarter Total Income of Rs 1105.10 Crore. Company has reported net profit after tax of Rs 95.20 Crore in latest quarter.

The company’s top management includes Mr.Sandeep P Engineer, Mrs.Jagruti S Engineer, Mr.Girish B Joshi, Mrs.Kaushal D Nakrani, Mr.Viral M Jhaveri, Mr.C K Gopal. Company has S R B C & Co. LLP as its auditors. As on 31-12-2022, the company has a total of 20 Crore shares outstanding.

Investment Rationale
Strong volume growth across industry players reflects strong construction activities in Q3FY23. The Capex phase for Astral is almost peaked and is well-placed to fulfil upcoming demand as current capacity utilization stands at 57%.

Promoter/FII Holdings
Promoters held 55.85 per cent stake in the company as of 31-Dec-2022, while FIIs owned 14.88 per cent, DIIs 15.1 per cent.