ET Markets
Stock Analysis, IPO, Mutual Funds, Bonds & More

Yes Securities retains add on CreditAccess Grameen, target price Rs 725

Add CreditAccess Grameen Ltd. at a price target of Rs 725.0 .|
Updated: Nov 04, 2019, 09.03 AM IST
Yes Securities has retained its positive stance on CreditAccess Grameen in the long term with a add rating and set a target price of Rs 725 citing reasonable valuations. Shares of CreditAccess ended flat at Rs 640 on Friday while the BSE sensex closed 35.98 points up at 40,165.03.

Company Financials

For the quarter ended 30-09-2019, the company has reported standalone sales of Rs 391.53 crore, up 4.19% from last quarter sales of Rs 375.80 crore and up 29.53% from last year same quarter sales of Rs 302.27 crore. The company has reported net profit after tax of Rs 100.88 crore in the latest quarter.

Investment Rationale

CreditAccess is a differentiated and well-managed microfinance institution with strong parentage, a high customer retention ratio, lower employee attrition and contiguous growth approach underline its high operating efficiency and sturdy asset quality, according to the brokerage. Yes Securities estimate company’s earnings to grow at 40% p.a. and book value to compound at 21% p.a. over FY19-21 without factoring any capital raise.

Also Read

Yes Securities maintains buy on Birla Corporation, target price Rs 990

Copper prices breach new high in Dec: YES Securities

Yes Securities maintains buy on Sadbhav Engineering, target price Rs 168

Yes Securities upgrades KNR Constructions to buy, target price Rs 293

Buy Cera Sanitaryware, target Rs 2,801: Yes Securities

Add Your Comments
Commenting feature is disabled in your country/region.

Other useful Links

Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service