Buy Carborundum Universal, target price Rs 448: ICICI Securities

ICICI Securities has buy call on Carborundum Universal Ltd. with a target price of Rs 448. The current market price of Carborundum Universal Ltd. is Rs 403.45.

Carborundum Universal Ltd., incorporated in the year 1954, is a Mid Cap company (having a market cap of Rs 7646.78 Crore) operating in Industrial Consumables sector.

Financials
For the quarter ended 30-09-2020, the company reported a Consolidated sales of Rs 683.19 Crore, up 53.94 % from last quarter Sales of Rs 443.80 Crore and up .83 % from last year same quarter Sales of Rs 677.55 Crore Company reported net profit after tax of Rs 87.28 Crore in latest quarter.


Investment Rationale
A breakout above last four weeks range (Rs 401-354) and a faster retracement of the last falling segment

Promoter/FII Holdings
Promoters held 42.1 per cent stake in the company as of Jun 30, 2020, while FIIs held 6.6 per cent, DIIs 28 and public and others 23.4 per cent.