IIFL Securities's Stock Idea: Buy Raymond with Target Rs 2300

IIFL Securities recommends a "Buy" call for Raymond with a target price of Rs 2300, indicating an upside potential of approximately 3.5%. The company's strong earnings performance, expanding margins, and positive outlook for the textile sector are key factors supporting this recommendation. At the current market price of Rs 2222.95, investors have the opportunity to capitalize on this potential growth by investing in Raymond.

About Raymond:

Raymond Limited, a flagship company of the Raymond Group, is a leading Indian textile and apparel conglomerate listed on the National Stock Exchange (NSE) of India. Founded in 1925, Raymond is known for its iconic brands such as Raymond, Parx, ColorPlus, and Manzoni. The company manufactures and retails a wide range of textile products including fabrics, garments, and home furnishing, as well as branded garments, accessories, and toiletries. With a global presence in over 50 countries, Raymond is a major player in the Indian textile industry and a respected brand in both domestic and international markets.

52 Week Price Trend:

Raymond, the renowned textile and fashion conglomerate, is currently trading at Rs 2222.95, hovering near its 52-week high of Rs 2240. Notably, the stock has exhibited significant growth since its 52-week low of Rs 1092.6, indicating a bullish trend in the market. This recent surge may be attributed to the company's strong financial performance, expansion plans, and positive industry outlook. Investors should closely monitor the company's upcoming quarterly results and future developments to assess its growth prospects.

Stratzy's MOST Analysis:

RAYMOND has been rated BB by Stratzy's MOST framework. This rating indicates that the company has Medium Fundamental Risks. The MOST framework evaluates a company's Management, Outlook, Safety, and Trend. RAYMOND has received a BB rating, suggesting that it has a moderate level of risk in these areas. Investors should carefully consider these risks before investing in RAYMOND.

Company's Fundamentals:

Raymond, listed on the NSE, offers valuable financial metrics. Its Stock PE of 7.27 denotes the ratio of its current share price to its annual earnings per share. This low value suggests the stock may be undervalued. The PB Ratio of 2.98 measures the stock's value in relation to the company's book value per share. This value implies that the stock may be fairly priced. Lastly, the Dividend Yield of 0.16% represents the annual dividend paid per share as a percentage of its current share price. This low yield indicates that investors in Raymond may not primarily seek dividend income.

Fundamental and Technical information provided in this blog were last updated on 02 May, 2024

Disclaimer: The information and recommendations presented in this section, including any attached reports, are sourced from third-party providers through diverse channels. The views and opinions expressed within these materials belong solely to their respective creators. These views and opinions do not necessarily reflect the position of Stratzy Fintech Pvt Ltd. Stratzy explicitly disclaims any guarantees, express or implied, regarding the accuracy and reliability of the provided content. We strongly advise consulting with a licensed financial advisor before making any investment decisions based on this information. Remember, seeking independent financial advice is crucial.