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Page Industries share falls 4% after Q1 nos.; should you buy, sell or hold?
At 9:32 AM, the Page Industries' stock was trading 3.55 per cent lower at ₹44,100, underperforming the benchmark BSE Sensex, which was down 0.21 per cent at 80,457.05.
For the quarter ended June 30, 2025, Page Industries posted a muted 3.1 per cent year-on-year (Y-o-Y) growth in revenue at ₹1,316.6 crore, with volume growth of just 1.9 per cent to 58.6 million pieces.
Despite the sluggish top-line performance, profitability saw healthy gains, with Ebitda rising 21.1 per cent to ₹294.7 crore and profit after tax up 21.5 per cent at ₹200.8 crore, aided by cost efficiencies and lower advertising spends.
Managing director V S Ganesh highlighted the company's continued focus on product innovation, process automation, and cost discipline, expressing optimism for demand recovery in the coming quarters driven by improved liquidity, low inflation, and deeper ecommerce adoption. He also pointed to the launch of JKY Groove – a new product line aimed at younger consumers – as a strategic step to expand the company's portfolio.
Page Industries share: Should you buy, sell or hold?
Brokerages, however, were divided in their views. Nuvama remained cautious, noting that growth momentum faltered after a strong previous quarter, with weak consumer sentiment and lower footfalls weighing on performance. While Ebitda margins improved due to curtailed ad spends, the firm expects margins to moderate to the guided 19--21 per cent range as investments pick up.
Factoring in the weak revenue show, Nuvama trimmed its FY26/27 earnings estimates and retained a 'Reduce' rating with a revised target price of ₹42,875, down from ₹44,140.
Motilal Oswal, on the other hand, maintained a more optimistic stance. While acknowledging the revenue and volume miss, the brokerage pointed to sequential improvement in momentum and expects a recovery aided by an early festive season and stable input costs. It noted the gross margin expansion of 500 bps Y-o-Y to 59.1 per cent and robust Ebitda margin of 22.4 per cent, ahead of expectations.
The brokerage expects sustained margins supported by operational efficiencies and sees potential upside from new product introductions and distribution expansion. Reiterating its 'Buy' call, Motilal Oswal pegged the target price at ₹54,000, valuing the stock at 60x its June FY27 earnings estimates.
With a split in brokerage opinion, investors may weigh near-term demand uncertainty against long-term brand strength and margin stability before taking a position.
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