Buy Minda Industries, target price Rs 835: ICICI Direct

ICICI Direct has buy call on Minda Industries with a target price of Rs 835. The current market price of Minda Industries Ltd. is Rs 734.05. Time period given by analyst is one year when Minda Industries Ltd. price can reach defined target.

Minda Industries Ltd., incorporated in the year 1992, is a Mid Cap company (having a market cap of Rs 21065.94 Crore) operating in Auto Ancillaries sector.

Financials
For the quarter ended 30-06-2021, the company reported a Consolidated Total Income of Rs 1608.69 Crore, down -28.41 % from last quarter Total Income of Rs 2247.17 Crore and up 282.26 % from last year same quarter Total Income of Rs 420.84 Crore. Company reported net profit after tax of Rs 29.90 Crore in latest quarter.


Investment Rationale
MIL’s share price has jumped >9x from ~Rs 75 levels in August 2016, thereby vastly outperforming Nifty Auto index in that time.

The brokerage retains BUY rating amid healthy growth prospects, intact kit value focus.

Promoter/FII Holdings
Promoters held 70.9 per cent stake in the company as of June 30, 2020, while FIIs held 10.26 per cent, DIIs 7.47 per cent and public and others 11.4 per cent.