Pidilite Industries Limited (NSE: PIDILITIND) stocks to buy: On the 24th of January (Wednesday) there was a huge increase in the stocks of Pidilite Industries, an organization that manages brands such as Fevicol.
The stock rose more than 2.5 percent. There is a chance for positive growth shortly too.
In light of the strong results from the quarter (Q3FY24), a top brokerage firm has double-graded the Pidilite Stocks.
The target price has been raised by approximately 23 percent. The brokerage claims that the performance of the business was excellent to what it had expected.
Pidilite Share Price Target Has Increased By 23 Percent
The Brokerage House has increased the rating of Pidilite from underweight to overweight.
The goal per share has been increased from 2350 to 2900 rupees. The stock trading at Rs 2590 on the 25rd of January 2024. As a result, the price could rise approximately 15 percent.
What’s The Opinion That The Broker Has?
House of Brokerage believes that the company’s downturn in earnings is over. The stock is rising following the impressive earnings of its 3rd quarter.
The operational performance was higher than what was expected. Gross margins have increased from 42 percent to 53 percent.
The working margins have also risen from 17 percent to 24 percent. Margins are set to reach a record-setting high following March 2021.
The volume growth in the period was 10.4 percent. There was a substantial rise in small towns and rural.
The focus of the company is expanding the number of touch points for distribution. The impact of new product launches is growing.
What Were The Results Of Q3?
Pidilite Industries’ profits in the period between October and December 2023 jumped by almost 68 percent to Rs 510 crore.
In the same timeframe in the year before it was just Rs 304 crore. The revenue of the company grew by 4 percent up to 3130 crores.
The operating profits (EBITDA) were up 50 % (YoY) to reach 743 crores during the third quarter. It was at 496 crore the previous quarter.
Margins increased from 16.5 percent to 23.7 percent (YoY).
About Pidilite Industries Limited
Pidilite Industries Limited is a top manufacturer in India of sealants and adhesives craftsman products, construction chemicals as well as Do-it-yourself (Do-It-Yourself) merchandise, as well as polymer Emulsions.
The segments of the company are Consumer and Bazaar (C&B) as well as B2B (Business to Business (B2B), and Other.
C&B segments: painters, household, mechanics, carpenters plumbers, students, and offices.
B2B segment: construction chemicals (projects), the use of adhesives, resins made from synthetic coloring preparations, and organic pigments and surfactants.
Other segments: packaging, papers, joineries, textiles, printing inks, and leather.
Some of the most well-known brands are Fevicol, M-Seal, Fevistik, Roff, Fevikwik, Dr. Fixit, Motomax, Fevicryl, Hobby Ideas, and Araldite.
The total revenue from operations is 10597.07 crores, and capital invested in equity is 50.83 crores.
Fundamental Analysis of Pidilite Industries Limited
| Market Cap | ₹ 1,31,880 Cr. |
| Current Price | ₹ 2,589.70 |
| 52-wk High | ₹ 2,805 |
| 52-wk Low | ₹ 2,250.05 |
| Stock P/E | 87.51 |
| Book Value | ₹ 148 |
| Dividend | 0.42 % |
| ROCE | 23.8 % |
| ROE | 18.7 % |
| Face Value | ₹ 1.00 |
| P/B Value | 17.6 |
| OPM | 21.2 % |
| EPS | ₹ 33.7 |
| Debt | ₹ 416 Cr. |
| Debt to Equity | 0.06 |
Pidilite Industries Share Price Target 2024 To 2030
| Year | 1st Target | 2nd Target |
| 2024 | ₹2600 | ₹3100 |
| 2025 | ₹3200 | ₹3450 |
| 2026 | ₹3645 | ₹4000 |
| 2027 | ₹4158 | ₹4300 |
| 2028 | ₹4458 | ₹4600 |
| 2029 | ₹4670 | ₹5000 |
| 2030 | ₹5136 | ₹5269 |
Pidilite Industries Limited Shareholding Pattern
| Promoters Holding | |
| Dec 2022 | 69.93% |
| Mar 2023 | 69.94% |
| June 2023 | 69.91% |
| Sept 2023 | 69.86% |
| Dec 2023 | 69.84% |
| FII Holding | |
| Dec 2022 | 11.08% |
| Mar 2023 | 10.61% |
| June 2023 | 11.34% |
| Sept 2023 | 11.44% |
| Dec 2023 | 11.49% |
| DII Holding | |
| Dec 2022 | 8.12% |
| Mar 2023 | 8.45% |
| June 2023 | 7.92% |
| Sept 2023 | 8.01% |
| Dec 2023 | 8.32% |
| Public Holding | |
| Dec 2022 | 10.85% |
| Mar 2023 | 10.98% |
| June 2023 | 10.82% |
| Sept 2023 | 10.70% |
| Dec 2023 | 10.36% |
Pidilite Industries Limited Share: Last 5 Years’ Financial Condition
To gain a better understanding of how the market is performing, let’s look at the outlook of this share in the previous years.
However, investors should be aware of the risks and the market conditions before making any investment decision.
Last 5 Years’ Sales:
| 2019 | ₹ 7,078 Cr |
| 2020 | ₹ 7,294 Cr |
| 2021 | ₹ 7,293 Cr |
| 2022 | ₹ 9,921 Cr |
| 2023 | ₹ 12,170 Cr |
Last 5 Years’ Net Profit:
| 2019 | ₹ 928 Cr |
| 2020 | ₹ 1,122 Cr |
| 2021 | ₹ 1,126 Cr |
| 2022 | ₹ 1,207 Cr |
| 2023 | ₹ 1,729 Cr |
Last 5 Years’ Debt-To-Equity Ratio:
| 2019 | 0.03 |
| 2020 | 0.04 |
| 2021 | 0.04 |
| 2022 | 0.04 |
| 2023 | 0.02 |
Last 10 Years’ Profit Growth:
| 10 Years: | 12% |
| 5 Years: | 6% |
| 3 Years: | 3% |
| Current Year: | 38% |
Last 10 years’ Return on Equity (ROE):
| 10 Years: | 24% |
| 5 Years: | 22% |
| 3 Years: | 20% |
| Last Year: | 18% |
Sales Growth Over 10 Years:
| 10 Years: | 12% |
| 5 Years: | 14% |
| 3 Years: | 17% |
| Current Year: | 5% |
Conclusion
This article is a complete guide about Pidilite Industries Limited Share.
These information and forecasts are based on our analysis, research, company fundamentals and history, experiences, and various technical analyses.
Also, We have talked in detail about the share’s future prospects and growth potential.
Hopefully, these informations will help you in your further investment.
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Also Read: Tata Group Share Ready To Double; First Target ₹1100; Second Target ₹1400
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