Citi has maintained its buy rating on Info Edge, raising the target price to Rs 8,320, indicating a potential upside of 4% from the current market price. The company’s recruitment billings grew by 14% year-on-year (YoY) in the second quarter of FY25, marking sustained acceleration from 9% YoY in the first quarter and 7% YoY in Q4 FY24.
This billings momentum typically impacts revenue growth with a lag of 1-2 quarters. Citi expects recruitment revenues to grow by 8% YoY, with total revenues including other classifieds estimated to grow by 10.5% YoY.
In terms of profitability, Citi projects Info Edge’s overall EBITDA to reach Rs 2.7 billion, up 11% YoY, with overall margins expected to improve by 10bps YoY and 180bps QoQ, helped by lower losses in non-recruitment verticals.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors should consider consulting a financial advisor before making any investment decisions
