Asian Paints' share price

Shares of Asian Paints Ltd. declined for the second day in a row on Friday as weaker-than-expected Q3 earnings dampened sentiment. Analysts also cut the ...

The average of 12-month price consensus price target implies a upside of 12.5%. Keeps 'neutral' rating and cuts target price to Rs 2,800 from Rs 3,200, implying a downside of 2%. Keeps 'neutral' rating and cuts target price to Rs 2,800 from Rs 3,365. So far, the total traded volume was 4.4 times its 30-day average volume. Cuts target multiple from 60x to 55x to account for low teen volume growth over the next two years vs 18% volume growth CAGR seen over FY20-22. Cuts FY23-25 earnings per share estimates by about 2-8% largely due to lower volume growth expectations and higher capex outlay. The relative strength index stood at 24, indicating that the stock might be oversold. Maintained 'underweight' and lowers price target to Rs 2,516 from Rs 2,674. Domestic decorative volume growth was flat on year, as against a growth of 6% expected by the brokerage. Flat volumes due to extended monsoon, shorter Diwali season, and pre-stocking in the base resulted in a sharp revenue and Ebitda miss in Q3. Cuts FY23-25 revenues estimates by 4-5% to factor in the weakness in volumes. Analysts also cut the paint makers target price and earnings outlook for FY23-25, citing rising competition, lower volume growth expectations and higher capex outlay.

The domestic decorative business registered a flat volume and value sales delivery for the quarter, on a very high price increase base in the previous year.

The company is likely to report flattish PAT of Rs 1,042 crore YoY tracking lower EBITDA margin,” the brokerage firm had said in their result preview. "The domestic decorative business registered a flat volume and value sales delivery for the quarter, on a very high price increase base in the previous year. The home décor market continued its expansion foray but witnessed some slowdown in the bath and the kitchen business this quarter. Margin recovery is a positive which we believe can continue into Q4 as well,” he added. Earnings before interest, taxes, depreciation, and amortization (ebitda) grew by 4.5 per cent YoY to Rs 1,611 crore, while margins expanded by 57 basis points (bps) YoY to 18.7 per cent. Net profit after minority interest increased 5.6 per cent to Rs 1,073 crore.

Asian Paints failed to in-cash benefit of fall in crude oil and other raw material prices as muted demand pared this favourable business environment of the ...

Lower-than-expected urban recovery and potential execution challenges in new categories are key risks.

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Asian Paints share price: Brokerages have mixed views on Asian Paints after the paint maker's quarterly numbers fell short of analysts' estimates.

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The brokerage has remained positive on the stock but said a re-rating looks unlikely given premium valuations and likely disruption due to the entry of a large player. It has an accumulate rating on the stock with a target price of Rs 3326. Hot Stocks: ...

It has an accumulate rating on the stock with a target price of Rs 3326. [Sensex](https://economictimes.indiatimes.com/indices/sensex_30_companies)and [Nifty](https://economictimes.indiatimes.com/indices/nifty_50_companies)Track [latest market news](https://economictimes.indiatimes.com/markets/stocks), [stock tips](https://economictimes.indiatimes.com/markets/stocks/recos)and [expert advice](https://economictimes.indiatimes.com/markets/expert-view)on [ETMarkets](https://economictimes.indiatimes.com/markets). Motilal has a neutral rating with a target price of Rs 3,090 on the stock. Kotak has a reduce rating on Asian Paints stock with a target price of Rs 2,800. "We cut FY2023-25E EPS by 3-5%, as we factor in the demand deceleration and higher depreciation pertaining to the capex plan. With an underweight rating on Asian Paints, Morgan Stanley has reduced its target price to Rs 2,516 which signals more downfall ahead.

Asian Paints Q3 Results: Consolidated operating profit increased by 4.5% on year to Rs 1611.43 crore, while margin expanded 57 basis points to 18.66%.

[Sensex](https://economictimes.indiatimes.com/indices/sensex_30_companies)and [Nifty](https://economictimes.indiatimes.com/indices/nifty_50_companies)Track [latest market news](https://economictimes.indiatimes.com/markets/stocks), [stock tips](https://economictimes.indiatimes.com/markets/stocks/recos)and [expert advice](https://economictimes.indiatimes.com/markets/expert-view)on [ETMarkets](https://economictimes.indiatimes.com/markets). International sales increased 2.1% in the quarter to Rs 778.82 crore. For fastest news alerts on financial markets, investment strategies and stocks alerts, [subscribe to our Telegram feeds](https://t.me/joinchat/J60pKE7SOStsj5sI8nDmHQ).) In the bath fittings segment, sales decreased by 11% to Rs 89.84 crore, and in the kitchen business, sales dropped by 7% to Rs 100.68 crore. The growth in reported sales was lower than the increase in sales in constant currency on account of currency depreciation in key markets such as Sri Lanka, Egypt, Bangladesh, and Ethiopia, the company said. In constant currency terms, sales increased by 13.4%.

The Asian Paints stock closed at ₹2784.9 on the NSE on Friday, down 2.83% from the previous close. Nearly 34 lakh shares exchanged hands on the BSE and NSE ...

[Sensex](https://economictimes.indiatimes.com/indices/sensex_30_companies)and [Nifty](https://economictimes.indiatimes.com/indices/nifty_50_companies)Track [latest market news](https://economictimes.indiatimes.com/markets/stocks), [stock tips](https://economictimes.indiatimes.com/markets/stocks/recos)and [expert advice](https://economictimes.indiatimes.com/markets/expert-view)on [ETMarkets](https://economictimes.indiatimes.com/markets). Prem Watsa’s Fairfax Financial had sought a security-clearance waiver a fortnight before the expression of interest (EoI) deadline for IDBI Bank expired, multiple sources told ET, but the Centre did not accede to the request. However, 61x FY24 P/E already captures this," the brokerage said. It has demonstrated a strong track record, delivering 15% revenue CAGR and 20% EPS CAGR over the past 15 years, and it has remained the market leader for over half a century. [raw material prices](/topic/raw-material-prices), the company maintained its gross margin guidance at 38-40%, indicating cut in product prices and higher dealer incentives to keep competition at bay, said Investec in a client note. JSW Paints is already seeing customer and dealer acceptance," the brokerage said.