Shares of Aditya Birla Lifestyle Brands Ltd (ABLBL) gained 3.17% to ₹147.98 on Tuesday, September 9, after Morgan Stanley initiated coverage with an ‘Overweight’ rating and a target price of ₹175.
Brokerage take
Morgan Stanley highlighted ABLBL’s strong mix of core lifestyle brands and emerging labels, especially Reebok, which it believes could unlock significant growth potential. The brokerage forecasts a 10% revenue CAGR during FY25–28, supported by margin expansion and improved returns.
At present valuations, the stock trades at 13x FY27E EV/EBITDA, leaving scope for multiple expansion if the company delivers consistent execution, the note said.
Market snapshot
On Tuesday, ABLBL traded in the range of ₹148.09 – ₹151.33, with a market capitalization of ₹1.8 lakh crore.
