CLSA has initiated coverage on Radico Khaitan with an Outperform rating and a target price of ₹3,098, implying an upside of approximately 16.2% from the current market price of ₹2,665.00.
The brokerage highlighted Radico’s position as a leading white spirits player in India, and noted its ongoing expansion into the premium and luxury segments. CLSA praised the company’s strong track record in brand creation, although it acknowledged that profit delivery has been inconsistent.
Going forward, CLSA expects 265 basis points of EBITDA margin expansion, reaching 16.5% by FY28, driven by operating leverage and a premiumised product mix.
Disclaimer: This article is based on CLSA’s brokerage report and does not constitute investment advice. Please consult a certified financial advisor before making any investment decisions.
