In a recent analysis, Ventura Securities expressed a bullish stance on Lloyd Metal & Energy Ltd. The brokerage believes that the company’s robust growth potential and strong financial performance make it a compelling investment opportunity.
The Lloyd Metal & Energy Ltd Analyst: Analysts at Ventura Securities initiated the coverage on the stock with a “buy” rating and a price target of ₹1,040 over 24 months, indicating an upside of 160.4% from the current market price.
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The Lloyd Metal & Energy Ltd Thesis: The analysts’ thesis is based on a number of factors. They have prepared likely Bull and Bear case scenarios for FY26 price, based on revenue growth, EBITDA margins, and EV/EBITDA multiples.
In the Bull Case, they have assumed revenue of ₹12,000 crore (CAGR growth of 52.4%) and EV/EBITDA of 12X, which would result in a Bull Case price target of ₹1,362 per share (an upside of 265.2% from the current market price).
In the Bear Case, they have assumed revenue of ₹8,000 crore (CAGR growth of 33.1%) and EV/EBITDA of 8x, which would result in a Bear Case price target of ₹586 (an upside of 57.0% from the current market price).
The firm in its note said that the company’s focus on generating strong cash flows, maintaining a debt-free balance sheet, and forward integration projects positions it favourably for future growth and profitability.
The brokerage firm believes that the company is poised for long-term success in the iron ore and steel industry backed by the 30-year lease extension, increased iron ore extraction capacity, strategic location
with proximity to major steel plants, and timely expansion plans with forward & backward
Price Action: Lloyd Metal & Energy Ltd’s shares hit a new 52-week high today of ₹404. At the time of writing on Tuesday, the shares traded at ₹399.
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