Reduce Bata India, target price Rs 1944: Centrum Broking

Centrum Broking has reduce call on Bata India with a target price of Rs 1944. The current market price of Bata India is Rs 1921.45. Time period given by the analyst is one year for Bata India price to reach defined target.
Bata India, incorporated in the year 1931, is a large cap company (having a market cap of Rs 24741.55 crore) operating in leather sector.

Bata India's key products/revenue segments include footwear and other operating revenue for the year ended March 31, 2022.


Financials
For the quarter ended June 30, 2022, the company has reported a consolidated total income of Rs 952.31 crore. It was up 39.23 per cent from last quarter's total income of Rs 684 crore. Also, it was up 241.02 per cent from last year same quarter total income of Rs 279.25 crore. Company has reported net profit after tax of Rs 119.37 crore in latest quarter.

The company’s top management includes Mr.Ashwani Windlass, Mr.Ravindra Dhariwal, Ms.Radha Rajappa, Mr.Ashok Kumar Barat, Mr.Shaibal Sinha, Mr.Alberto Toni, Ms.Kanchan Chehal, Ms.Vidhya Srinivasan, Mr.Gunjan Shah, Mr.Akshay Chudasama. Company has B S R & Co. LLP as its auditors. As on June 30, 2022, the company has a total of 13 crore shares outstanding.

Investment Rationale
The brokerage maintains its estimates and also the 'reduce' rating. They continue to value the business at 48xFY24E eps with a TP of Rs 1944. They believe positives for the next two years have already been factored in to the current market price.

Promoter/FII Holdings
Promoters held 50.16 per cent stake in the company as of June 30, 2022, while FIIs owned 6.84 per cent, DIIs 30.11 per cent.