Buy IndiaMART InterMESH, target price Rs 4920: JM Financial

JM Financial has buy call on IndiaMART InterMESH with a target price of Rs 4920. The current market price of IndiaMART InterMESH is Rs 4454.5. Time period given by analyst is one year when IndiaMART InterMESH Ltd. price can reach defined target.

IndiaMART InterMESH Ltd., incorporated in the year 1999, is a Mid Cap company (having a market cap of Rs 13700.94 Crore) operating in Services sector.

IndiaMART InterMESH Ltd. key Products/Revenue Segments include Income From Information 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 225.58 Crore, down -2.30 % from last quarter Total Income of Rs 230.90 Crore and up 6.91 % from last year same quarter Total Income of Rs 211.00 Crore. Company reported net profit after tax of Rs 53.66 Crore in latest quarter.

Investment Rationale
While the brokerage expects standalone business margins to remain flat YoY at 30.6%, sequentially there could be a correction of c.150bps due to very high competitive intensity in 99acres and Jeevansathi. It forecasts Revenue/EBITDA/Adj. EPS CAGR of 22%/26%/18% in stand. business over FY22-25E, a major proportion of growth being frontloaded to FY23.


Promoter/FII Holdings
Promoters held 49.22 per cent stake in the company as of 30-Jun-2022, while FIIs owned 23.59 per cent, DIIs 4.96 per cent.