We anticipate re-rating due to the robust beat in Q1FY19 on all fronts, management salary being capped at FY18 levels and likely increase in dividend payout. Digitisation in Tamil Nadu is a key positive trigger. We retain the target multiple of 28x FY20E EPS that yields our TP of Rs 1,208. We maintain BUY/SO. At CMP, the stock is trading at 19.2X FY20E EPS.
Disclaimer: The views and stock ideas expressed by members on stockadda.com are their own, and not that of the website or its management.The views and stock ideas are for informational purposes only and should not be construed to be recommendations to buy or sell any securities.Stockadda.com advises members to check & consult with certified experts before taking any investment decisions.
285 Investors Online.