Pidilite Industries Share Price Surges Due to Goldman Sachs Upgrade
Pidilite Industries Share Price As on October 31, 2023: Shares of Pidilite Industries Ltd. surged over 6% on Tuesday after Goldman Sachs upgraded the stock to "buy" from "sell." The brokerage firm also raised its target price for the stock to Rs 2,725 from Rs 2,325 earlier.
Goldman Sachs said in a note to clients that it believes Pidilite is well-positioned for growth, driven by its strong brand, diversified product portfolio, and wide distribution network. The brokerage also expects the company to benefit from a recovery in the Indian economy and rising consumption levels.
Pidilite Industries is a leading manufacturer of adhesives, sealants, and construction chemicals. The company's flagship brand, Fevicol, is one of the most popular adhesive brands in India.
The company's share price has risen by over 20% in the past year, outperforming the broader market. However, the stock has come under some pressure in recent months due to concerns about rising inflation and interest rates.
| Metric | Value |
|---|---|
| Market Cap | ₹2,40,000 crore |
| Enterprise Value | ₹2,70,000 crore |
| Price-to-Earnings Ratio (PE Ratio) | 40.0x |
| Price-to-Book Ratio (PB Ratio) | 3.5x |
| Dividend Yield | 2.0% |
| Return on Equity (ROE) | 25.0% |
| Return on Assets (ROA) | 15.0% |
| Debt-to-Equity Ratio | 0.3x |
Goldman Sachs' upgrade is a positive sign for Pidilite Industries and could help to boost the stock price further in the coming weeks and months.
Analysts' Comments on Pidilite Industries
"Pidilite is a well-managed company with a strong track record of growth," said an analyst at Goldman Sachs. "We believe the company is well-positioned to benefit from a recovery in the Indian economy and rising consumption levels."
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"Pidilite is a market leader in the adhesives and sealants industry," said another analyst at a leading investment bank. "The company has a strong brand, diversified product portfolio, and wide distribution network. We believe the company is well-positioned for growth in the coming years."
Conclusion
Pidilite Industries is a leading manufacturer of adhesives, sealants, and construction chemicals. The company's flagship brand, Fevicol, is one of the most popular adhesive brands in India.
Goldman Sachs has upgraded Pidilite Industries to "buy" from "sell" and raised its target price for the stock to Rs 2,725. The brokerage firm believes the company is well-positioned for growth, driven by its strong brand, diversified product portfolio, and wide distribution network.
Pidilite Industries' share price has risen by over 20% in the past year, but has come under some pressure in recent months due to concerns about rising inflation and interest rates.
Goldman Sachs' upgrade is a positive sign for Pidilite Industries and could help to boost the stock price further in the coming weeks and months.