Buy Grasim Industries, target price Rs 1900: Prabhudas Lilladher

Prabhudas Lilladher has buy call on Grasim Industries with a target price of Rs 1900. The current market price of Grasim Industries is Rs 1716.65. Time period given by analyst is 2 months when Grasim Industries Ltd. price can reach defined target.

Grasim Industries Ltd., incorporated in the year 1947, is a Large Cap company (having a market cap of Rs 114062.85 Crore) operating in Diversified sector.

Grasim Industries Ltd. key Products/Revenue Segments include Sale of Products, Scrap, Export Incentives, Other Operating Revenue, Power, Sale of services for the year ending 31-Mar-2022.



Financials
For the quarter ended 30-06-2022, the company reported a Consolidated Total Income of Rs 28209.61 Crore, down -2.70 % from last quarter Total Income of Rs 28991.25 Crore and up 39.73 % from last year same quarter Total Income of Rs 20189.29 Crore. Company reported net profit after tax of Rs 2705.41 Crore in latest quarter.

Investment Rationale
The stock has picked up well after the brief correction which was followed by a short consolidation period and now has produced a bullish candle pattern and it looks potentially set for still more upward movement in the coming days. The RSI has been positive and with volume picking up in recent times, the brokerage recommends a buy in this stock for an upside target of 1900 keeping a stop loss of 1650.

Promoter/FII Holdings
Promoters held 42.76 per cent stake in the company as of 30-Jun-2022, while FIIs owned 11.49 per cent, DIIs 15.36 per cent.