Mumbai: IIFL Securities has initiated Buy rating on Cummins India and Emami Limited. The brokerage, in its edition of Idea2Act has suggested a new recommendation that can give investors great returns. It said the two stocks are expected to achieve the share price target in two months.
Cummins India Limited is one of the country’s leading manufacturer of diesel and natural gas engines. It was formed in 1962, the largest entity of Cummins in India. Cummins Ind Ltd comprises three business units – Engine, Power Systems, and Distribution. Emami Ltd was founded by RS Agarwal and RS Goenka. It is one of the most dynamic and fastest growing FMCG companies in India. FMCG major is engaged in the business of varied sectors like FMCG, Real Estate, Retail, Pharmacy Chain, Paper & Packaging Board to Edible Oils & Food Manufacturing, Contemporary Art, etc.
Cummins India share price target
IIFL Securities gave a Buy call on Cummins Ind and recommended buying the stock to gain good returns in around 366 days. The brokerage said the counter has the potential to rise to achieve share price target of Rs 4226 in a year. The stock was trading at Rs 3,616.30 apiece at 12:10 pm on November 11, 2024.
Buy Emami Ltd share’
The brokerage initiated a Buy Call on Emami Ltd. The brokerage advised the interested investors to pump in money to purchase the scrip with a Target price of 800 in a year. Emami shares traded at Rs 672.30 apiece at 12:10 pm.
Cummins India Q2 Results 2024-25
In its second quarter results of 2024-25, Cummins India standalone net profit increased 37.16 per cent to Rs 450.61 crore as compared to Rs 328.51 crore in the Q2 of 2023-24. The company’s revenue from operations stood at Rs 2,448.40 crore; it was Rs 1871.45 crore reported in the second quarter of the previous financial year. Profit before tax was recorded at at Rs 594.38 crore in July-September quarter of this fiscal. It jumped 39.49 per cent from Rs 426.29 crore in the corresponding quarter previous fiscal.
Emami Q2 Results 2024-25
In its second quarter results of 2024-25, Emami Ltd registered a 19 per cent year-on-year increase to Rs 213 crore. The company in its financials mentioned that the revenue from operations increased by 3 per cent to Rs 891 crore. Gross margins went up by 60 basis points to 70.7 per cent. Earnings before interest, depreciation, tax, and amortisation (EBITDA) reached Rs 250 crore, up 7 per cent year-on-year.
EBITDA margins appreciated by 110 basis points to 28.1 per cent. The FMCG major confirmed increasing its stake in Helios Lifestyle, the maker of The Man Company brand. It raised its stake from 50.4 per cent to 98.3 per cent. Notably, the company’s board declared an interim dividend of 400 per cent, or Rs 4 per share, for FY25.
“Organised channels like modern trade, e-commerce, and institutional sales now contribute 26.6 per cent to our domestic business, a 190-basis point increase in the first half. We remain committed to achieving high single-digit revenue growth and double-digit EBITDA growth for FY’25,” Mohan Goenka, vice chairman and whole-time director of Emami said.
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Stocks to invest in for long term: IIFL Securities gave a Buy call on Cummins India and Emami Limited. The brokerage suggested share price target for both the stocks. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
