The shares of Britannia Industries Limited reached its new 52-week high of Rs 4,190 in the early hours of Monday. Till the afternoon, the stock was trading 9 percent higher at Rs 4,147 levels. The rally in the shares led the company’s market capitalization to cross the Rs 1 lakh crore mark.
The stocks jumped after the company beat the analyst’s expectations and reported a strong quarterly number. In Q2FY23, the company saw a 28.4 percent increase Year on Year (YoY) in its profit to Rs 490.58 crore up from Rs 381.84 crore.
They reported their highest quarterly revenue which stood at Rs 4,379 crore in the quarter under review, up 21.4 per cent from Rs 3,607 crore which they reported in the year-ago period.
Britannia Industries, part of the Wadia group, is one of India’s leading food companies in India. The product portfolio of the company includes brands such as Good Day, Tiger, NutriChoice, Milk Bikis, and Marie Gold. It has a presence in more than 60 countries across the globe.
In the past six months, the stock has zoomed by approximately 28 percent and in the span of a year, the stock has zoomed by 12 percent.
Analysts are bullish on the stock and have given multiple targets. Nomura has upgraded the stock to buy with a target price of Rs 4,600. Goldman Sachs has a target of Rs 4,000, Macquarie Rs 3,750, and CLSA Rs 3,890.
The spike in Britannia Industries’ share caused its promoter group- Bombay Burmah Trading Corporations shares to rally as well. The shares of Bombay Burmah inched up by 7 percent and were trading at Rs 931 levels till the afternoon. It holds a 50.22 percent stake in Britannia Industries.
Written by Anoushka Roy
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