Supreme Industries Share Price Target Forecast 2022, 2023, 2025, 2030

25 OCTOBER 2021

Sharekhan: Supreme Industries Share Price Target 2022; Buy For Rs 2721

Sharekhan is optimistic on Supreme Industries, with a buy rating and a target price of Rs 2721 in a research report dated October 22, 2021.

Due to stronger realisations and good volume growth in plastic products, the firm recorded better-than-expected revenue growth in Q2FY2022. Due of increasing raw material costs, OPM was lower than projected. The business is positive about underlying demand, aiming for a three- to four-year volume increase in FY22.

Over the next six months, PVC prices are likely to stay constant. New plants would be commissioned between January and May 2022, with a cost of Rs 521 crore planned for FY 2022. We expect infrastructure, housing, and government programmes to create a long-term demand environment.

Outlook

Taking into consideration the Revised Estimates for FY2022-FY2024, we retain a buy position in Supreme Industries Limited (SIL) with a Revised Target Price of Rs 2,721.

Moneycontrol.com is the source for this information.


24 JUNE 2021

CD Equisearch predicts a share price of Rs 2644 in 2022 for Supreme Industries.

CD Equisearch is optimistic on the stock. Supreme Industries advised a buy recommendation on the company with a target price of Rs 2644 in a research report dated June 23, 2021.

The majority of the revenue increase in Q4 (45.7 percent) is comparable to the underlying growth in Supreme’s plastic goods volume, with the significant plastics pipe products business declining 1.7 percent to grow at a moderate 7.8%. (some 44 percent of its revenues). As the firm gained market share from unorganised companies, it expanded by)).

Other firms’ revenue increased as well, with consumer items revenue increasing by at least 30.6 percent. The record increase in OPM in Q4 (24.5 percent versus 19.1 percent) mitigates most of the risk of inventory increases (Rs 80-100 crore in Q4, accounting for 4-5 percent of sales), highlighting the fragility of overall margin stability.

Supreme’s plastic pipe products company is no exception, with an EBIT margin of 26.5 percent in the preceding quarter, up from 18 percent a year earlier. This helped to significantly reduce inventory gains.”

Outlook

We are looking at the company with a revised goal of Rs 2644 (prior target: Rs 1457) based on earnings 36xFY23e, keeping in mind the slowdown in Free Cash Flows this financial year and next, as well as evident drivers for business development. Purchase is recommended.

Moneycontrol.com is the source for this information.


25 MAY 2021

ICICI Direct’s share price target for Supreme Industries is 2022, with a hold price of Rs 2390.

Supreme Industries was given a HOLD rating by ICICI Direct in its research report dated May 04, 2021, with a target price of Rs 2390.

In terms of sales and profitability, Top Industries outperformed our expectations in the fourth quarter of FY11. Revenue increased by 46% year on year to Rs 2084 crore, owing to a 37% increase in realisation. Despite the lower starting point, overall volume increase of 8% YoY was lower than planned. In Q4FY21, the piping segment’s volume fell 2% due to weaker demand for agricultural pipes and a shift in product mix.

On a favourable footing and demand resurgence in selected product categories, sales of the other three segments, packaging, industrial, and consumer furniture, increased by 49 percent, 85 percent, and 30 percent YoY in Q4FY21. While inventory gains were strong (Rs 80-100 crore), EBITDA margin increased 534 basis points to 24.5 percent due to considerable expense savings (by 650 basis points YoY).

Pat’s yearly revenue increased by 3.8% to Rs 450 crore, boosted by a 10x increase in earnings from Supreme Petrochem. Management anticipates that the occasional lockout would have a negative impact on near-term demand, but that the restoration of business operations will help raise demand for plastic pipes due to decreased raw material prices and the prospect of a better monsoon.

Furthermore, the business expects an EBITDA margin of 17% in the future (200 basis points better than the previous five years’ average) and expenditure of Rs 400 crore in FY12E.

Outlook

Our recommendation has been lowered from BUY to HOLD, with a revised Target Price of Rs 2390, which is valued at 33xFY23E (previous 2010 TP of Rs.

Moneycontrol.com is the source for this information.


10 JUNE 2021

Dolat Capital Markets sets a price target of Rs 2238 for Supreme Industries’ stock in 2022.

Supreme Industries was downgraded by Dolat Capital Markets in its research report on May 5, 2021, with a target price of Rs 2238.

On the revenue front, all segments showed an overall rebound in volumes, with the exception of the pipe segment, which saw a decline. On a year-over-year basis, gross margin has shrunk by 184 basis points. Increased PVC prices resulted in inventory profit of Rs. 800-1,000 million in Q4FY21. The proportion of value-added items has grown by 20% year on year.

In Q4FY21, SI reported a 1.7 percent volume decline in the pipe category, as the items were not selling well owing to increased pricing. The total volume growth for Q4FY21 was 8%, owing to stable/positive performance across all categories.

The Industrial category expanded at a rate of 44.8 percent, followed by the Packaging section at 40.2 percent and the Consumer segment at 11.9 percent. The rebound in FY2011, on the other hand, was better and faster than anticipated at the start of the year.

Outlook

Maintaining these margins, though, will be a key metric to watch. We are looking for a Target Price of Rs 2,238 to trade at 31x FY23E Earnings, since the stock has already included in the good performance and is running a lot, and with the negative surrounding the pandemic with the market slowdown in April’21. Maintain your stock rating as well.

Moneycontrol.com is the source for this information.


Disclaimer: The views and investment tips expressed by investment expert on Stockconsultantbihar.com are Sourced From Brokerage Firms Research Reports & Market Experts Opinion. We advises users to consult your investment advisor before taking any decisions. Our Website Contain Demat Account & Algo Trading affliate Link. If You’ll Register Through Our Link We May Get Profit.

Also Read:

We will be happy to hear your thoughts

Leave a reply

Stock Consultant Bihar
Logo