Latest news with #Geojit
Mint
2 days ago
- Business
- Mint
Suzlon Energy stock downgraded to 'accumulate' by Geojit; but target price raised to ₹77 from ₹71
Domestic brokerage house Geojit Financial Services has revised its outlook on Suzlon Energy, downgrading the stock from a 'Buy' to an 'Accumulate' rating. Despite the revised stance, the brokerage firm has increased its target price to ₹ 77 from the earlier ₹ 71, indicating a potential upside of 17 percent from previous close of ₹ 65.67. The adjustment reflects Suzlon's promising growth prospects, driven by a robust order book and strong performance in its wind turbine business. Geojit highlighted Suzlon's expanding order book of over 5.5 GW, which it believes will support a 41 percent compound annual growth rate (CAGR) in wind turbine generator (WTG) deliveries from FY25 to FY27. The brokerage expects Suzlon's earnings to grow at a 38 percent CAGR over this period, while return on equity is projected to improve to 26 percent. However, Geojit cautioned about execution risks that could arise in managing large-scale projects. Despite this, the company's recent financial performance lends credibility to its growth trajectory. Suzlon delivered 573 MW of WTG capacity in Q4FY25, marking a 110 percent year-on-year increase. Its consolidated revenues jumped 73 percent during the quarter, with the WTG segment alone growing 105 percent year-on-year. While gross margins dipped 133 basis points to 35 percent due to a higher contribution from the lower-margin WTG business, Suzlon's EBITDA margin improved by 202 basis points to 18 percent. This improvement was driven by economies of scale and better capacity utilization. EBIT margins in the WTG and foundry segments rose by 903 and 34 basis points, respectively. Suzlon Energy posted a sharp improvement in its consolidated financial performance for the quarter ended March 2025, with net profit surging to ₹ 1,182.22 crore, up significantly from ₹ 254.12 crore reported in the same period last year. The company also delivered strong top-line growth, as revenue from operations jumped 73 percent year-on-year to ₹ 3,773.54 crore, compared to ₹ 2,179.20 crore in the March 2024 quarter. As of the end of FY25, the company had a net cash position of ₹ 1,943 crore and a consolidated net worth of ₹ 6,106 crore, indicating a strong balance sheet. Meanwhile, another brokerage house Nuvama Institutional Equities also maintained a positive long-term outlook on Suzlon, although it has retained its 'Hold' rating. It raised the target price from ₹ 61 to ₹ 68, citing the company's strategic positioning in India's clean energy transition. 'Suzlon remains a key beneficiary of the increasing share of firm and dispatchable renewable energy (FDRE), round-the-clock (RTC) power, and hybrid tenders in the Indian energy landscape,' Nuvama noted. The firm also emphasised Suzlon's duopolistic presence in the EPC and wind turbine generator market, holding a 30 percent market share. Additionally, the company serves both the commercial & industrial (C&I) and PSU segments, with C&I accounting for 55 percent of the order book. Suzlon Energy's stock has experienced significant volatility over the past year. It touched a 52-week high of ₹ 86.04 in September 2024 and a low of ₹ 46 in April 2025. Over the past 12 months, the stock has gained over 30 percent. However, the trend in 2025 has been mixed. After a 27 percent surge in May, the stock has declined nearly 10 percent in June so far. Earlier in the year, it fell marginally in April and February but gained 14 percent in March. January also saw a 6.5 percent decline.
Mint
2 days ago
- Business
- Mint
Suzlon Energy stock downgraded to 'accumulate' by Geojit; but target price raised to ₹77 from ₹71
Domestic brokerage house Geojit Financial Services has revised its outlook on Suzlon Energy, downgrading the stock from a 'Buy' to an 'Accumulate' rating. Despite the revised stance, the brokerage firm has increased its target price to ₹ 77 from the earlier ₹ 71, indicating a potential upside of 17 percent from previous close of ₹ 65.67. The adjustment reflects Suzlon's promising growth prospects, driven by a robust order book and strong performance in its wind turbine business. Geojit highlighted Suzlon's expanding order book of over 5.5 GW, which it believes will support a 41 percent compound annual growth rate (CAGR) in wind turbine generator (WTG) deliveries from FY25 to FY27. The brokerage expects Suzlon's earnings to grow at a 38 percent CAGR over this period, while return on equity is projected to improve to 26 percent. However, Geojit cautioned about execution risks that could arise in managing large-scale projects. Despite this, the company's recent financial performance lends credibility to its growth trajectory. Suzlon delivered 573 MW of WTG capacity in Q4FY25, marking a 110 percent year-on-year increase. Its consolidated revenues jumped 73 percent during the quarter, with the WTG segment alone growing 105 percent year-on-year. While gross margins dipped 133 basis points to 35 percent due to a higher contribution from the lower-margin WTG business, Suzlon's EBITDA margin improved by 202 basis points to 18 percent. This improvement was driven by economies of scale and better capacity utilization. EBIT margins in the WTG and foundry segments rose by 903 and 34 basis points, respectively. Suzlon Energy posted a sharp improvement in its consolidated financial performance for the quarter ended March 2025, with net profit surging to ₹ 1,182.22 crore, up significantly from ₹ 254.12 crore reported in the same period last year. The company also delivered strong top-line growth, as revenue from operations jumped 73 percent year-on-year to ₹ 3,773.54 crore, compared to ₹ 2,179.20 crore in the March 2024 quarter. As of the end of FY25, the company had a net cash position of ₹ 1,943 crore and a consolidated net worth of ₹ 6,106 crore, indicating a strong balance sheet. Meanwhile, another brokerage house Nuvama Institutional Equities also maintained a positive long-term outlook on Suzlon, although it has retained its 'Hold' rating. It raised the target price from ₹ 61 to ₹ 68, citing the company's strategic positioning in India's clean energy transition. 'Suzlon remains a key beneficiary of the increasing share of firm and dispatchable renewable energy (FDRE), round-the-clock (RTC) power, and hybrid tenders in the Indian energy landscape,' Nuvama noted. The firm also emphasised Suzlon's duopolistic presence in the EPC and wind turbine generator market, holding a 30 percent market share. Additionally, the company serves both the commercial & industrial (C&I) and PSU segments, with C&I accounting for 55 percent of the order book. Suzlon Energy's stock has experienced significant volatility over the past year. It touched a 52-week high of ₹ 86.04 in September 2024 and a low of ₹ 46 in April 2025. Over the past 12 months, the stock has gained over 30 percent. However, the trend in 2025 has been mixed. After a 27 percent surge in May, the stock has declined nearly 10 percent in June so far. Earlier in the year, it fell marginally in April and February but gained 14 percent in March. January also saw a 6.5 percent decline. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Forbes
2 days ago
- Business
- Forbes
Indian Billionaire Mukesh Ambani's Reliance Industries Sells $895 Million Asian Paints Shares
Buckets of Asia Paints Ltd. paint at a store in Mumbai, India, on Saturday, Feb 6, 2021. ... More Photographer: Dhiraj Singh/Bloomberg Reliance Industries—the energy-to-telecom conglomerate controlled by India's richest person Mukesh Ambani—sold most of its shares in Asian Paints worth 77 billion rupees ($895 million) amid intensifying industry competition. The company's unit Siddhant Commercials sold 35 million shares or about a 3.7% stake at 2,201 rupees each via a block trade, according to an exchange filing on Thursday. Following the sale, Reliance will still hold 8.7 million shares in Asian Paints. Reliance, which invested in Asian Paints shares almost two decades ago, has been cutting its stake in Asian Paints amid softening demand and intensifying competition from new players such as billionaire Kumar Birla's Birla Opus. 'We expect the demand environment to remain weak in the coming quarters, while increasing competition in the sector will impact the outlook,' Indian brokerage Geojit, which is backed by BNP Paribas, wrote in a recent note. The brokerage recommends investors 'reduce' their exposure on Asian Paints, whose shares have fallen more than 30% in 2024. With an estimated net worth of $119.5 billion, Ambani is India's wealthiest person, according to Forbes Asia's list of India's 100 Richest, published last October. He is the chairman of Reliance Industries, which has interests in energy, petrochemicals, telecommunications, retail, media and financial services.
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Business Standard
22-05-2025
- Business
- Business Standard
Belrise Industries IPO Day 2 update: Subscription rises 1.2x, GMP up 19%
Belrise Industries IPO subscription status: The initial public offering (IPO) of Belrise Industries, which opened for public subscription on Wednesday, May 21, has received a muted response from investors. The NSE data suggests that the ₹144.89 crore offering of Belrise Industries received bids for 22,47,22,998 shares, against 17,70,58,824 shares on offer, resulting in a subscription of 1.27 times 11:45 AM on Thursday, May 22. The public offering has received the highest bid from the Non-Institutional Investors, who have oversubscribed the category reserved for them by 3.34 times. Meanwhile, retail investors have subscribed the category reserved for them by 86 per cent, and Qualified Institutional Buyers (QIBs) by 44 per cent. Belrise Industries IPO details The public offering is a book-built issue, which comprises an entirely fresh issue of equity shares, without any offer-for-sale (OFS) component. Belrise Industries IPO is available at a price band of ₹85–90 per share, with a lot size of 166 shares. Thus, investors can bid for a minimum of 166 shares of Belrise Industries IPO and in multiples thereof. To bid for one lot or 166 shares of Belrise Industries IPO, a retail investor would require a minimum of ₹14,940, taking the upper end of the IPO price into consideration. A retail investor can bid for a maximum of 13 lots or 2,158 shares, amounting to ₹1,94,220. Belrise Industries IPO grey market premium (GMP) The unlisted shares of Belrise Industries were commanding a decent premium in the grey market on the second day of the subscription period. Sources tracking unofficial market activities revealed that Belrise Industries shares were seen trading at around ₹107 per share, reflecting a grey market premium (GMP) of ₹17 or 18.89 per cent over the upper end of the issue price. Belrise Industries IPO review Analysts at Geojit have recommended investors to subscribe to Belrise Industries IPO from a long-term perspective. At the upper price band of ₹90, BIL is available at a P/E ratio of 25.8x (FY24 EPS), which, analysts said, appears to be reasonably priced compared to its long-term profitability and PAT margin expansion owing to improvement in financial metrics. "Given its dominant market share, diversified product portfolio, strong presence in EV & IC engine segments, capacity expansions, optimized inventory management and favourable industry outlook, we recommend a 'Subscribe' rating on a long-term basis," wrote the analysts in a research note. Besides this, Belrise Industries has also received favourable reviews from other brokerages including Choice Broking (Subscribe), ICICI Securities (Subscribe), and Anand Rathi Research Team (Subscribe for long-term). READ MORE. Belrise Industries IPO timeline The public offering will remain available for subscription till Friday, May 23, 2025. Following that, the basis of allotment of Belrise Industries shares is likely to take place on Monday, May 26, 2025. The successful allottees will receive the company's shares into their demat account tentatively on Tuesday, May 27, 2025. Belrise Industries IPO objective Belrise Industries proposes to utilise the net proceeds from the issue towards funding the repayment/pre-payment, in full or in part, of certain outstanding borrowings availed by the company, as well as for general corporate purposes. Belrise Industries IPO registrar, lead managers For the public offering, MUFG InTime India (formerly Link InTime India) serves as the registrar, while the book-running lead managers include Axis Capital, HSBC Securities and Capital Markets (India), Jefferies India, and SBI Capital Markets. About Belrise Industries Established in 1996, Belrise Industries is an Indian manufacturer of automotive components, specializing in safety-critical and precision-engineered solutions across vehicle segments, including two-, three-, and four-wheelers, commercial, and agricultural vehicles. In FY24, BIL held a 24 per cent market share in the two-wheeler metal components segment. Its diversified product portfolio spans chassis systems, polymer and suspension components, BIW structures, and exhaust systems for both EVs and ICE vehicles. As of 9MFY25, BIL has built strategic partnerships with 29 global OEMs, such as Bajaj Auto, Honda, Hero MotoCorp, Jaguar Land Rover, and Royal Enfield. The company operates 17 facilities across 10 cities in 9 states, processing 60,000 tons of steel annually.
Economic Times
21-05-2025
- Business
- Economic Times
Sensex soars 800 points, but will FIIs strike again after Rs 10,000 crore blow?
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads The bulls charged back on Wednesday with a vengeance, catapulting the Sensex over 800 points higher and reversing the damage from the previous session. But lurking behind the bounce is a cold, hard number: Rs 10,016 crore—the amount foreign institutional investors ( FIIs ) yanked out of the Indian stock market just a day ago. The message is clear: the market may have recovered, but the risk hasn't retreated.'This is a major reversal of their big buying in May,' said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit. 'If this persists, it has the potential to impact the market.'He minced no words in describing the market mood—"a spike in uncertainty and risk is impacting the market rather unexpectedly." The dramatic Rs 10,000-crore selloff, he warned, is not an isolated event but possibly triggered by a volatile global cocktail: a US credit rating downgrade, bond yield spikes in both America and Japan, resurgent Covid cases in India, and chatter of a possible Israeli strike on jitters in the bond market are being taken seriously. 'The 30-year JGB yield spiking to 3.14% in the backdrop of the US 30-year at 5% sends a feeling of disquiet,' Vijayakumar noted. 'Investors have to exercise caution.'Domestic brokerage Kotak Institutional Equities has also warned that the sharp rally in Indian equities over the past few weeks belies the extant realities of chaotic global trade, limited progress in India-US trade negotiations, weakening earnings trajectory and lofty valuations."The market is again in the grips of irrational exuberance with the market quick to discount any half-baked narrative (defense being the latest one). The market's recurring tendency to buy into narratives is astonishing given the history of narratives. Many had emerged and collapsed in the past 2-3 years," warns Kotak's Sanjeev quarter earnings season also did little to support the market, with Prasad describing it as "broadly muted". Nifty50 profits grew 7.5% YoY, but the bulk of the outperformance was driven by banks and downstream oil marketing analysts say that as the 10-year bond yield spread of India over the US has narrowed down to a two-decade low of ~175bps, which was last seen during 2004-05, the risk-premium for India is at an all-time low, thereby, warranting elevated P/E valuations for India, assuming relative macro strength continues."Relative macro strength of India is evidenced by the recent downgrade of US credit rating by Moody's, while India's rating has seen upgrades (ratings by DBRS and ratings outlook by S&P). Twin deficits (fiscal and current account) and public debt for US have deteriorated relative to India in the recent past, while inflationary risks are higher for the US due to tariff wars. On the growth front as well, US GDP growth went into contraction during Q1CY25 due to tariff-related impacts, while India GDP growth is likely to be minimum above the 6% mark," said Vinod Karki of ICICI the meantime, Morgan Stanley said the drawdown in Indian stocks from the September 2024 high is an opportunity to buy India's long-term story and said its new Sensex target of 89,000 by June 2026 suggests that the index would trade at a trailing P/E multiple of 23.5x, ahead of the 25-year average of 21x."Our new BSE Sensex target of 89,000 implies upside potential of 8% to June 2026. This level suggests that the BSE Sensex would trade at a trailing P/E multiple of 23.5x, ahead of the 25-year average of 21x. The premium over the historical average reflects greater confidence in the medium-term growth cycle in India, India's lower beta, a higher terminal growth rate, and a predictable policy environment," Morgan Stanley's Ridham Desai said.
