Shares of KEI Industries Ltd have tripled in the last two years. The multibagger stock, which closed at Rs 1,449.45 on December 29, 2022 was trading at Rs 4,368 in the current session. The multibagger stock has risen 842% in five years. The stock of the wiremaker was trading nearly a percent higher at Rs 4368.35 against the previous close of Rs 4331.25 on BSE. Market cap of the firm rose to Rs 41,740 crore. In a year, the stock has delivered returns of 35.18% and risen 37.54% this year.
Total 1331 shares changed hands amounting to a turnover of Rs 58.34 lakh on BSE. KEI Industries stock hit a 52-week low of Rs 2822.15 on and a 52 week high of Rs 5040 on June 14, 2024.
In terms of technicals, the relative strength index (RSI) of KEI Industries stands at 53.5, signaling it's trading neither in the overbought nor in the oversold territory. KEI Industries stock has a one-year beta of 0.8, indicating very low volatility during the period. KEI Industries shares are trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day and 200 day moving averages.
Motilal Oswal Financial Services sees a 19% upside to the KEI Industries stock. Price target for the stock is Rs 5,150.
"We estimate its revenue/EBITDA/EPS CAGR at ~17%/ 24%/22% over FY25-27. The stock is trading at 49x/40x FY26E/FY27E EPS, which remains attractive. We value KEII at 50x Dec’26E EPS to arrive at our target price of Rs 5,150, having 19% upside potential. Reiterate BUY. Key risks to our TP are: (a) slowdown in government-led infrastructure projects; (b) higher volatility in raw material prices; (c) global headwinds, which may impact export; and (d) increase in competition due to higher capacity addition in the sector," said the brokerage.
Net profit in Q2 climbed 10.3% to Rs 154.8 crore against Rs 140.3 crore in the same period of previous fiscal. Revenue rose 17.2% to Rs 2279.6 crore in the second quarter compared to Rs 1945 crore a year ago. EBITDA margin in Q2 fell to 9.7% as against 10.42% YoY. EBIDTA in Q2 rose 9.1% at Rs 220.5 crore against Rs 202.2 crore in Q2 of the previous year.
KEI Industries is engaged in the business of manufacturing, sale and marketing of all range of power cables up to 400kV - Low Tension (LT), High Tension (HT) and Extra High Voltage (EHV), Control and Instrumentation Cables, Specialty Cables, Elastomeric/Rubber Cables, Submersible Cables, Flexible and House Wires, Winding Wires. KEI is also engaged in execution of Engineering, Procurement and Construction projects (EPC) for survey, supply of materials, design, erection, testing & commissioning on a turnkey basis.