Stock To Buy: Midcap Tyre Stock Rallied 2 .55%, Motilal Oswal Placed " Buy", Sees 32% Returns
Motilal Oswal has placed a " Buy" on the stock of CEAT Ltd with a target price of Rs 1,860 apiece.
Given the target price, the stock is likely to give a healthy return of up to 32% if purchased at the current market price.
According to Motilal Oswal R&D capabilities to drive growth in Exports and EVs.
The last traded share price of CEAT is Rs 1,418.90 apiece. Stock rallied 2 .55% compared to its previous close of Rs 1,383.60 apiece.
The stock's 52 week low is Rs 890 apiece and 52 week high is Rs 1,981 apiece.
It gave 3 .72% negative return in 1 week, 7 .14% in 1 month and 23 .57% in 3 months, respectively.
However, it has given a positive return of 45 .22% in 3 years and 38 .94% in 3 years, respectively.
Buy for a target price of Rs 1,860 apiece
Cyclical recovery in both OEMs and replacement will enable faster absorption of new capacities and drive the benefit of operating leverage.
This, coupled with softening RM prices, would help a partial recovery in margins in FY 23 with full recovery expected in FY 24.
The company continues to focus on key strategic areas such as i) PV/ 2 W/ OHT ( to help a long-term growth catalyst for the company.
The stock has been picked from the brokerage report of Motilal Oswal.
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By Shubham Kumar Goodreturns source: Dailyhunt