Suryaa Business Desk: Surya Business & Stock Market Desk, Mumbai: KEI Industries, a leading cable and wire manufacturing company, has announced its September quarter (Q2) financial results... Surya Business & Stock Market Desk, Mumbai: Leading brokerage firm PL Capital (Prabhudas Leeladhar) has expressed a positive (bullish) outlook on the future performance of KEI Industries, a leading cable and wire manufacturer, after announcing its September quarter (Q2) financial results. Strong order book coupled with strong demand from the domestic infrastructure, real estate and power transmission sectors will drive revenue growth steadily in the coming days, the company said. Revenue, order book and retail expansion: Growth in sales of wires and cables in the second quarter was the mainstay of the company's performance.
The share of retail sales is steadily strengthening as the retail network is continuously expanded and the number of dealers is significantly increased. On the other hand, the momentum of orders from the international markets and availability of pending orders worth thousands of crores of rupees along with EPC projects is a complete assurance for future order execution, the brokerage report has clarified. PL Capital Target Price – 'Buy' Rating: PL Capital has maintained its 'Buy' rating on the stock on the back of the company's long-term capacity expansion plans (capex), demand for high-margin EHV (Extra High Voltage) cables. Considering the company's growth projections of around Rs.
5,200 to Rs. 5,400 has set an attractive target price. Analysts expect a strong balance sheet and strong market share to keep KEI Industries on a sustainable growth path despite short-term raw material price fluctuations.
