Shares of logistics services firm Delhivery Ltd are in focus today after brokerage firm Bernstein initiated coverage on the stock with a market perform rating. It has assigned a target price of Rs 360, amounting to an upside of 11.45% against the previous close of Rs 323 on BSE. In early trade, Delhivery rose 1.70% to Rs 328.50 on BSE. The stock opened marginally higher at Rs 324.65.
The stock has fallen 1.54% in 2023. The stock hit a 52-week high of Rs 708.45 on July 21, 2022 and a 52-week low of Rs 291 on January 27, 2023.
Total 7072 shares of Delhivery changed hands amounting to a turnover of Rs 23.16 lakh on BSE. The market cap of the firm stood at Rs 23,885 crore on BSE.
In terms of technicals, the relative strength index (RSI) of Delhivery stock stands at 45.5, signaling it's trading neither in the overbought zone nor in the oversold zone. Delhivery stock is trading lower than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
Bernstein has initiated a 'market perform' rating on Delhivery. It said the company has a secular story but capped returns and corrective actions in recent months will drive recovery in earnings as well as deliver recovery in stock.
In the third quarter of last fiscal, Delhivery’s net loss widened to Rs 196 crore for the quarter ended December 31, 2022 as against Rs 127 crore in the year-ago period. The logistics firm said revenue fell 8.5% to Rs 1,824 crore as compared to Rs 1,995 crore in Q3FY22.
EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) loss came at Rs 73.3 crore, compared to an EBITDA profit of Rs 54.1 crore in the same quarter of the previous year.
Delhivery is engaged in providing a full range of logistics services, including delivery of express parcel and heavy goods, PTL freight, TL freight, warehousing, supply chain solutions, cross-border Express, freight services, and supply chain software. Delhivery is the largest and fastest-growing fully integrated logistics services player in India by revenue as of FY21.
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