Buy Info Edge (India), target price Rs 6300: ICICI Securities

ICICI Securities has buy call on Info Edge (India) with a target price of Rs 6300. The current market price of Info Edge (India) Ltd. is Rs 4933.

Time period given by analyst is one year when Info Edge (India) Ltd. price can reach defined target.
Info Edge (India) Ltd., incorporated in the year 1995, is a Large Cap company (having a market cap of Rs 64104.87 Crore) operating in Services sector.


Financials
For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 359.33 Crore, up 15.39 % from last quarter Total Income of Rs 311.42 Crore and up 2.78 % from last year same quarter Total Income of Rs 349.60 Crore. Company reported net profit after tax of Rs 332.65 Crore in latest quarter.

Investment Rationale
Naukri will be a key beneficiary given its near monopoly positioning (80%+ traffic share) in white collar hiring. Potential for price increases and operating leverage should translate into buoyant EBITDA margins. The brokerage upgrades FY22-23E EPS by ~5%. Reiterate Info Edge as TOP BUY idea. Impending IPOs of investee firms (Zomato & Policybazaar) should be key catalysts for value unlocking.

Promoter/FII Holdings
Promoters held 38.4 per cent stake in the company as of March 31, 2021, while FIIs held 39.6 per cent, DIIs 11 per cent and public and others 11 per cent.