Page Industries sustains uptrend after last week's underperformance - What's fueling buying in Jockey-maker's stock price

Shares of Page Industries surged more than 2 per cent on Wednesday, 15 March, sustaining the two-day uptrend in the Jockey-brand apparel manufacturer. The Street took to buying amid global brokerage Morgan Stanley initiating coverage with an overweight rating and a target price of Rs 44,500.

The target price has an upside of over 20 per cent or Rs 7,800 per share from the last closing price of Rs 36,288.85 on NSE.

Morgan Stanley predicts that over the next 30 days, Page Industries' stock will increase compared to the index.

Bangalore-based Page Industries which has the exclusive license of making innerwear of Jockey International Inc in India, Sri Lanka, Bangladesh, Nepal, and the UAE, is also the exclusive licensee of Speedo International Ltd for the manufacture, marketing, and distribution of the Speedo brand in India.

For the quarter ended in December 2022, Page Industries reported net sales of Rs 1,223.26 crore, jumped 2.81 per cent from Rs 1,189.80 crore in December 2021. However, the company's net profit declined 29.12 per cent to Rs 123.73 crore from Rs 174.57 in December 2021.

The innerwear maker Page Industries' EBITDA was Rs 194.40 crore in December 2022, which fell 24.61% from Rs. 257.87 crore in December 2021.

Page Industries compares with the likes of zivame.com, marksandspencer.in, nykaafashion.com, clovia.com, and more.

Meanwhile, shares of Page Industries were trading at Rs 37,467.75 apiece, up 3.33% on BSE at 2.59 PM IST on BSE in a weak Mumbai market. The company' shares have provided negative returns of 2.34% in the last month and over 23% in the last six months.