Buy Gabriel India, target price Rs 160: Axis Securities

Axis Securities has buy call on Gabriel India with a target price of Rs 160. The current market price of Gabriel India Ltd. is Rs 146.85. Time period given by analyst is one year when Gabriel India Ltd. price can reach defined target.
Gabriel India Ltd., incorporated in the year 1961, is a Small Cap company (having a market cap of Rs 2111.57 Crore) operating in Auto Ancillaries sector.

Gabriel India Ltd. key Products/Revenue Segments include Shock Absorbers & Struts, Scrap, Other Operating Revenue, Export Incentives and Sale of services for the year ending 31-Mar-2021.


Financials
For the quarter ended 30-09-2021, the company reported a Standalone Total Income of Rs 594.12 Crore, up 30.21 % from last quarter Total Income of Rs 456.27 Crore and up 28.02 % from last year same quarter Total Income of Rs 464.10 Crore. Company reported net profit after tax of Rs 24.92 Crore in latest quarter.


Investment Rationale
The brokerage upgrade rating from HOLD to BUY and revise Target Price upwards to Rs 160 (Rs 126 earlier) valuing the stock at 16x FY23E P/E, implying an upside of 10% from CMP.

Promoter/FII Holdings
Promoters held 55.0 per cent stake in the company as of 30-Sep-2021, while FIIs owned 1.0 per cent, DIIs 7.09 per cent.