Buy Gujarat Fluorochemicals, target price Rs 4270: ICICI Securities

ICICI Securities has buy call on Gujarat Fluorochemicals with a target price of Rs 4270. The current market price of Gujarat Fluorochemicals is Rs 3559.85. Time period given by analyst is one year when Gujarat Fluorochemicals Ltd. price can reach defined target.

Gujarat Fluorochemicals Ltd., incorporated in the year 2018, is a Mid Cap company (having a market cap of Rs 39470.20 Crore) operating in Chemicals sector.

Gujarat Fluorochemicals Ltd. key Products/Revenue Segments include Other Products, Gases Refrigerant, Caustic Soda, Other Operating Revenue, Export Incentives, Scrap for the year ending 31-Mar-2021.



Financials
For the quarter ended 30-06-2022, the company reported a Consolidated Total Income of Rs 1360.17 Crore, up 23.57 % from last quarter Total Income of Rs 1100.76 Crore and up 44.97 % from last year same quarter Total Income of Rs 938.27 Crore. Company reported net profit after tax of Rs 303.42 Crore in latest quarter.

Investment Rationale
The brokerage has increased EPS estimates by 2-10% over FY23E-24E and also raised target price to Rs4,270 (30x FY24E EPS, unchanged).

Promoter/FII Holdings
Promoters held 66.08 per cent stake in the company as of 30-Jun-2022, while FIIs owned 4.1 per cent, DIIs 4.25 per cent.