HSBC has retained its reduce rating on Page Industries with a target price of ₹41,040 per share, implying a potential downside of about 9.3% from the current market price of ₹45,260. The brokerage noted that the company’s recent launch of JKY Groove marks a shift away from its core basics segment but sees limited potential from the initiative.
According to HSBC, Page’s margins are already near peak levels as raw material costs have stabilised, while employee costs are continuing to rise. The brokerage also cut its profit after tax estimates by 3%, citing weak demand conditions as a drag on performance.
HSBC maintained that growth challenges and high cost pressures limit upside potential for the stock in the near term.
Disclaimer: The views and investment recommendations expressed are those of HSBC. These do not represent the views of this publication and should not be considered as investment advice. Investors are advised to consult their financial advisors before making any investment decisions.
