Stock Broker In Karur

Stock Broker In Karur

Sterlite Technologies Ltd.

BUY

Sterlite Technologies Ltd. (STL) is a fully integrated telecom networking infrastructure play with the lowest costs globally. With 

demand for fiber expected to grow at a rapid pace as faster 4G/5G networks are rolled out and new age technologies such as IoT, augmented reality, virtual reality, cloud computing etc. become common place, STL is best placed to benefit from this.

We initiate coverage with a BUY for a price target of Rs 441 representing an upside of 47% from the CMP of Rs 300 over the next 24 months. We expect the revenues to grow by 27% CAGR to INR 6,548.6 crores by FY2021 driven by increasing fiber capacity and utilization, traction in software and services business. On the back of robust revenues, we expect the EBITDA and PAT to grow to Rs 1,524.9 crores (29% CAGR) & Rs 802.1 crores (30% CAGR) respectively by FY21. Operating margins are also set to improve by 100 bps to 23.3% by FY21. Return ratios ROE & ROCE are also expected to remain elevated at 30% and 31% respectively by FY21.

For better investment contact

MR.K.P.PRABHAGHARAN,

KKP CAPITAL, 9894333189

Stocksandshareanalyst @ https://bit.ly/2JHOzJw

Stock Broker In Karur