Info Edge share price: Brokerages post mixed sentiment for this stock- check target price

The brokerage firms posted a mixed call for the shares of Info Edge, as the company reported over 60 per cent rise in standalone net profit to Rs 66.68 crore on over 10 per cent decline in net sales to Rs 290.04 crore in the fourth quarter of the financial year 2020-2021. 

The revenue from the Recruitment Solutions segment of the company at Rs 198.64 crore, down around 14 per cent year-on-year, while from 99acres for real estate also dipped by over 11 per cent to Rs 50.09 crore in Q4 FY21. 

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Goldman Sachs maintained a Sell call on Info Edge, while downgrades the target from the current market price of Rs 4960 per share. It raises FY22-24 revenue estimates by up to four per cent, as it has a strong outlook for recruitment business. 

The brokerage, however, sees a mismatch between growth outlook and valuations, and points out that it is well placed to capture upside from B2B spends in India moving to digital. 

Similarly, downgrading the target from the current market price to Rs 4220 per share, Macquarie maintains an Underperform call on Info Edge. It pointed out that sequential improvement in the core business is continued and raises FY22-23 EPS estimates see a revision of less than one per cent. 

On the other hand, CLSA maintains an Outperform call on Info Edge, and expects the company's revenue growth to bounce back sharply by the second quarter. It raises the price target to Rs 5470 per share. It’s bullish on the stock as Zomato and Policybazaar are actively working on public listing. 

The brokerage firm further adds, operating leverage in the business model should ensure its flow-through into margin and management remains on the lookout for consolidation or expansion. 

Info Edge (India) is among the leading internet companies in India. The company runs leading internet businesses viz. Naukri.com, Jeevansathi.com, 99acres.com, and Shiksha.com.  

The company also owns Quadrangle and Naukri Gulf and has made significant strategic investments such as zomato.com, policybazaar.com and happily unmarried.com etc.