Accumulate Coromandel International, target price Rs 1171: Geojit

Geojit has accumulate call on Coromandel International with a target price of Rs 1171. The current market price of Coromandel International is Rs 1049.2. Time period given by analyst is one year when Coromandel International Ltd. price can reach defined target.

Coromandel International Ltd., incorporated in the year 1961, is a Mid Cap company (having a market cap of Rs 30826.76 Crore) operating in Fertilisers sector.

Coromandel International Ltd. key Products/Revenue Segments include Ammonium Phosphatic Fertilizers, Subsidy, Crop Protection, Others Items, Single Super Phosphate (SSP), Urea, Muriate Of Potash (Trading) for the year ending 31-Mar-2022.


Financials
For the quarter ended 30-06-2022, the company reported a Consolidated Total Income of Rs 5782.67 Crore, up 34.37 % from last quarter Total Income of Rs 4303.60 Crore and up 56.90 % from last year same quarter Total Income of Rs 3685.62 Crore. Company reported net profit after tax of Rs 497.55 Crore in latest quarter.

Investment Rationale
Considering the healthy balance sheet and consistent ROE of ~27% for the last 3 years, we reiterate ACCUMULATE rating with revised target price of Rs. 1,171 based on 15x FY24E adj. EPS.

Promoter/FII Holdings
Promoters held 57.48 per cent stake in the company as of 30-Jun-2022, while FIIs owned 12.15 per cent, DIIs 15.94 per cent.