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VIP Industries shares gain for second day, jump over 8.5%: What brokerage said on expected upside
VIP Industries share price: Brokerage firm Prabhudas Lilladher (PL) upgraded its rating on VIP Industries stock to 'Buy' from ‘Hold’.
VIP Industries share price: Shares of VIP Industries Ltd rose 11.64 per cent to hit a high of ₹519.80 today (March 28). Brokerage firm Prabhudas Lilladher (PL) upgraded its rating on VIP Industries stock to 'Buy' from its earlier ‘Hold’ stance. The brokerage also revised its target price pn the stock to ₹603 from ₹589 previously.
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What brokerage said on VIP Industries share price?
"Our upgrade is driven by 30 per cent correction over last six months and the ensuing valuation comfort. VIP has 2 brands, Carlton & Caprese, in the premium category. Carlton is set to unveil its upscale product line, priced between ₹10,000-18,000 soon. After onboarding inaugural brand head, the plan is to establish 25 exclusive Carlton stores and 16 airport outlets by FY25E. Similarly, new designs for Caprese are also expected to be launched soon while Kiara Advani has been roped-in as brand ambassador. We believe renewed focus on premiumization would not only act as a key margin lever but also drive growth," Prabhudas Lilladher stated.
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It also mentioned, “VIP has inventory of around ₹900 crore with a higher SL share that is expected to be liquidated in near term. This is likely to optimize warehousing and freight cost. Further, larger part of inventory is less than 1-year old and probability of obsolescence is low given SL has fewer design imprints.”
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VIP Industries share price today
Shares of VIP Industries extended winning streak for the second straight day surging 11.64 per cent to hit a high of ₹519.80 in morning trade today.
