JSW Infra gains 3% after Motilal Oswal raises target price with 'Buy'

JSW Infrastructure shares gained 2.9 per cent on BSE, logging an intraday high at Rs 319.15 per share. The upmove in the stock came after domestic brokerage Motilal Oswal reiterated 'Buy' and raised the target price from Rs 350 to Rs 375 per share.

 

Around 12:31 PM, JSW Infra share price was up 2.78 per cent at Rs 318.5 per share on BSE. In comparison, the BSE Sensex was up 0.38 per cent at 78,770.77. The market capitalisation of the company stood at Rs 66,759.05 crore. The 52-week high of the stock stood at Rs 361 per share and the 52-week low stood at Rs 202 per share.

 

Motilal believes as the company is focused on expanding capacity, improving third-party mix in overall cargo, and improving utilisation levels at existing ports and terminals, and thus, its volume growth trajectory will continue.

 

Further, the brokerage expects JSW Infra to strengthen its market dominance, leading to a 14 per cent volume compound annual growth rate (CAGR) over FY24-27, which will drive a 19 per cent CAGR in revenue and a 20 per cent CAGR in Ebitda over the same period. Ebitda refers to Earnings before interest, tax, depreciation and amortisation. 

 

"Leveraging its strong balance sheet, JSW Infra aims to pursue organic and inorganic growth opportunities, strengthen its market presence, and expand its capacity to 400MMT by 2030, up from the current capacity of 170MMT," Motilal Oswal said. 

 

It added: As utilisation and volumes continue to ramp up, we expect strong growth to continue. 

 

JSW Infrastructure Ltd. is a prominent infrastructure development company in India, part of the diversified JSW Group. Specialising in the development, operation, and management of ports, terminals, and logistics infrastructure, JSW Infrastructure operates several major ports along India’s coastline, handling bulk cargo, containers, and liquid cargo. The company also provides integrated logistics services, including warehousing, cargo handling, and transportation. With a focus on enhancing trade efficiency, JSW is involved in key infrastructure projects such as port expansion and inland waterway initiatives. Committed to sustainability, the company implements green practices in its operations, contributing to India's growing trade and economic development.

 

In the past one year, JSW Infra shares have gained 45.9 per cent against Sensex's rise of 9 per cent.