Hold Cera Sanitaryware, target price Rs 8,637: ICICI Securities

ICICI Securities has hold call on Cera Sanitaryware with a target price of Rs 8,637. The current market price of Cera Sanitaryware is Rs 8,241.

Cera Sanitaryware, incorporated in the year 1998, is a Mid Cap company (having a market cap of Rs 10704.48 Crore) operating in Building Materials sector.

Cera Sanitaryware key Products/Revenue Segments include Building Products, Other Operating Revenue, Sale of services and Export Incentives for the year ending 31-Mar-2024.


Financials

For the quarter ended 30-06-2024, the company has reported a Consolidated Total Income of Rs 416.62 Crore, down -26.20 % from last quarter Total Income of Rs 564.52 Crore and down -6.21 % from last year same quarter Total Income of Rs 444.18 Crore. Company has reported net profit after tax of Rs 47.46 Crore in latest quarter.

Valuations

CRS’ near-term demand outlook remains tepid but with real estate market expected to remain healthy as many real estate projects from CY25 (which were launched in CY22 and earlier) are expected to get completed, demand for bathware segment thus is expected to be buoyant. ICICI Securities believe CRS is well poised to benefit from the uptick in housing market due to its wide distribution, strong brand, comprehensive product portfolio and healthy balance sheet

Promoter/FII Holdings

Promoters held 54.48% stake in the company as of 30-Jun-2024, while FIIs owned 21.45%, DIIs 7.29%.