Buy Mahindra CIE Automotive, target price Rs 285: ICICI Securities

ICICI Securities has buy call on Mahindra CIE Automotive with a target price of Rs 285.

The current market price of Mahindra CIE Automotive Ltd. is Rs 238.15. Time period given by analyst is one year when Mahindra CIE Automotive Ltd. price can reach defined target.

Mahindra CIE Automotive Ltd., incorporated in the year 1999, is a Mid Cap company (having a market cap of Rs 8850.39 Crore) operating in Auto Ancillaries sector.


Financials
For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 2208.76 Crore, up 12.40 % from last quarter Total Income of Rs 1965.08 Crore and up 32.45 % from last year same quarter Total Income of Rs 1667.59 Crore. Company reported net profit after tax of Rs 10.09 Crore in latest quarter.

Investment Rationale
CIE continues to expand into Asia, India for the roof systems segment considering the current low penetration levels and opportunity size. India could witness local greenfield manufacturing and it believes this could potentially be added as a new revenue line for MACA India.

Promoter/FII Holdings
Promoters held 71.6 per cent stake in the company as of March 31, 2021, while FIIs held 15.1 per cent, DIIs 3.3 per cent and public and others 10 per cent.