Morgan Stanley projects 24% upside on Page Industries shares in anticipation of strong Q2

Shares of Page Industries Ltd. gained on Friday, October 3, after brokerage firm Morgan Stanley projected a potential upside of nearly 24% on the stock.Morgan Stanley has an “overweight” call on the stock with a price target of ₹52,064 per share. The stock ended the previous session at ₹42,110 apiece.

The brokerage said it believes the share price will rise relative to India’s benchmark index over the next 45 days.

For the September quarter, Morgan Stanley is expecting a 5% volume growth for Page Industries, compared to 2% in the June quarter. Topline growth is estimated at 6% for the quarter.
Morgan Stanley expects Page Industries to remain a strong beneficiary of the upcoming demand recovery. This will be supported by government measures with regards and by the company’s own efforts to revive growth. The 5% GST threshold on innerwear was increased to ₹2,500 per piece recently.The brokerage has estimated a 80% probability for this scenario to playout.

Of the 24 analysts that have coverage on the stock, nine have a “buy” rating, five a “hold” rating and 11 have a “sell” rating.

Page Industries shares were up 0.55% at ₹42,340 apiece. The stock has declined 11.4% this year, so far.

Also Read: Stocks To Buy: Goldman Sachs recommends these defence stocks for up to 58% upside