Jefferies target suggests 16% upside in this agro-chemical stock; should you buy or wait?

PI Industries share price today, PI Industries Q4 results: Shares of agro-chemicals maker PI Industries were in focus, a day after the firm staged a mixed Q4 performance. Halting the 5-day declining trend, the stock closed 2.93 per cent higher at Rs 3,690.1 on the NSE. The stock rose nearly four per cent to the day's high of Rs 3,724.5 on the NSE during the session. Post Q4 results, Jefferies has maintained a buy call on PI Industries. 

PI Industries Q4 results: A mixed bag

PI Industries posted a 32 per cent jump in its net profit to Rs 370 crore with revenue growth of 11.2 per cent for the March quarter. The agrochemical maker's margin, a key measure of profitability, has improved by 350 basis points to 25.4 per cent. Zee Business analysts had pegged PI Industries' quarterly net profit at Rs 380 crore and margin at 24.3 per cent.

PI Industries share price target: Jefferies sees 16% upside

Jefferies has maintained a buy call on PI Industries with a target of Rs 4,165. The target implies an upside potential of over 16 per cent from the previous close. The global brokerage stated the following key points in its report: 

• Q4 revenue missed estimates by 6% with both agrochemical & Pharma weaker
• EBITDA, came in line on strong gross margin despite drag from pharma
• PAT at Rs 370 crore, up 32% YoY & down 18% QoQ, was 6% ahead on lower tax rate
• Key focus areas are growth & margin in CSM & domestic business
• The key focus area is ramp up of pharma over FY25

PI Industries dividend 

PI Industries has announced a final dividend of Rs 9 per share of the face value of Re 1, i.e., a 900 per cent payout, subject to the approval of the shareholders at the forthcoming Annual General Meeting (‘AGM’)for the financial year 2023-24.

PI Industries dividend payment date

The final dividend, if approved will be credited/ dispatched on or before September 20, 2024.

PI Industries dividend record date

PI Industries has fixed Tuesday, August 20, 2024, as the record date for the purpose of determining the members eligible to receive the final dividend for the financial year 2023-24.

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