Buy JK Lakshmi Cement, target price Rs 890: Axis Securities

Axis Securities has buy call on JK Lakshmi Cement with a target price of Rs 890. The current market price of JK Lakshmi Cement is Rs 799.35. Axis Securities recommended to keep stop loss at Rs 720.

JK Lakshmi Cement, incorporated in the year 1938, is a Mid Cap company (having a market cap of Rs 9405.96 Crore) operating in Cement sector.

JK Lakshmi Cement key Products/Revenue Segments include Cement, Others and Other Operating Revenue for the year ending 31-Mar-2022.


Financials
For the quarter ended 31-12-2022, the company has reported a Consolidated Total Income of Rs 1576.06 Crore, up 13.13 % from last quarter Total Income of Rs 1393.15 Crore and up 20.88 % from last year same quarter Total Income of Rs 1303.81 Crore. Company has reported net profit after tax of Rs 77.43 Crore in latest quarter.

The company’s top management includes Mr.Bharat Hari Singhania, Mrs.Vinita Singhania, Mr.B V Bhargava, Dr.Raghupati Singhania, Mr.N G Khaitan, Mrs.Bhaswati Mukherjee, Dr.K N Memani, Mr.Ravi Jhunjhunwala, Mr.Arun Kumar Shukla. Company has S S Kothari Mehta & Co as its auditors. As on 31-12-2022, the company has a total of 12 Crore shares outstanding.

Investment Rationale
The stock on the weekly chart has decisively broken out above the “Falling Channel” at Rs 740 with strong bullish candle indicating a positive bias.

Promoter/FII Holdings
Promoters held 46.31 per cent stake in the company as of 31-Dec-2022, while FIIs owned 13.81 per cent, DIIs 25.54 per cent.