Buy Dwarikesh Sugar Industries, target price Rs 81: ICICI Direct

ICICI Direct has buy call on Dwarikesh Sugar Industries with a target price of Rs 81. The current market price of Dwarikesh Sugar Industries is Rs 75.7.

Time period given by analyst is 2 weeks when Dwarikesh Sugar Industries Ltd. price can reach defined target.
Dwarikesh Sugar Industries Ltd., incorporated in the year 1993, is a Small Cap company (having a market cap of Rs 1358.60 Crore) operating in Sugar sector.


Dwarikesh Sugar Industries Ltd. key Products/Revenue Segments include Sugar, Ethanol, Other Operating Revenue, Power, Molasses, Miscellaneous Sales, Spirit for the year ending 31-Mar-2021.

Financials
For the quarter ended 30-06-2021, the company reported a Standalone Total Income of Rs 393.25 Crore, down -34.60 % from last quarter Total Income of Rs 601.31 Crore and down -10.79 % from last year same quarter Total Income of Rs 440.82 Crore. Company reported net profit after tax of Rs 27.10 Crore in latest quarter.

Investment Rationale
The stock has undergone shallow retracement as over past three months it retraced merely 38% of preceding three months sharp up move (Rs 30-84), highlighting robust price structure

Promoter/FII Holdings
Promoters held 42.08 per cent stake in the company as of March 31, 2020, while FIIs held 3.32 per cent, DIIs 3.77 and public and others 54.13 per cent.