BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
ICICI Securities Report
Greenpanel Industries Ltd. has been trading at benign valuations ever since its listing in October 2019 (post its demerger from Greenply Industries Ltd.) largely attributed to demand and pricing headwinds in the medium-density fibreboard (MDF) category and large capex (Rs 7.9 billion) committed on its Andhra Pradesh project leading to under-utilisation of its MDF assets and muted profitability.
However, with faster-than-expected demand recovery in MDF category (which also seems sustainable) post Covid-19 breakout, the company may sweat its capacities much faster than envisaged earlier.
Besides, delay in greenfield MDF projects of Century Plyboards India Ltd. and Rushil Decor, coupled with stable MDF pricing and its recently initiated productivity enhancement and cost control measures at its MDF units, may drive significant improvement in its profitability going forward.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
POPULAR