Affle (India) Ltd., incorporated in the year 1994, is a Mid Cap company (having a market cap of Rs 14040.00 Crore) operating in Services sector.
Financials
For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 177.59 Crore, up 16.91 % from last quarter Total Income of Rs 151.91 Crore and up 112.84 % from last year same quarter Total Income of Rs 83.44 Crore. Company has reported net profit after tax of Rs 58.61 Crore in latest quarter.
Investment Rationale
The company saw healthy organic growth in revenues (up 45% YoY). Going forward, the brokerage expects this improving revenue growth to continue mainly led by shift of advertising budget towards digital medium, higher online shopping and improved penetration in tier-2, tier-3 cities of India. This, coupled with geographic expansion and significant shift among consumers to adopt digital technology globally will drive long term revenues. Hence, the brokerage maintains BUY recommendation on the stock with a revised target price of Rs 6,225 (72x FY23E EPS) (earlier target price Rs 5100).
Promoter/FII Holdings
Promoters held 68.37 per cent stake in the company as of March 31, 2020, while FIIs held 7.54 per cent, DIIs 11.37 per cent and public and others 12.69 per cent.
(Views and recommendations given in this section are the analysts’ own and do not represent those of ETMarkets.com. Please consult your financial adviser before taking any position in the stock/s mentioned.)
