Angel Broking has given a buy rating to Endurance Technologies Ltd with a target price of Rs 1,015. The share price moved up by 4.14 per cent from its previous close of Rs 856.10. The stock’s last traded price is Rs 891.50.

Investment Rationale

Endurance Technologies Ltd is one of India’s leading automotive component manufacturers with operations in India and Europe. It mainly caters to two and three-wheeler OEMs in India and supplies aluminum casting products to four-wheeler OEMs in Europe.

Post Covid-19, evolving consumer preference for lower ticket priced means of private transport amid pressurized incomes and awareness around social distancing are expected to act as tailwinds for domestic 2-wheelers in India and 4-wheelers across developed nations.

Quarterly Results

Source: ET.com

Financials

For the quarter ended March 31, 2019, the company reported consolidated sales of Rs 1640.53 crore, down -7.38 per cent from last quarter sales of Rs 1771.26 crore and down -9.51 per cent from last year's same quarter sales of Rs 1812.98 crore. The company reported net profit after tax of Rs 124.04 crore in the latest quarter.

Promoter/FII Holdings

Promoters held 75 per cent stake in the company as of March 2020, while FIIs held 16.34 per cent, DIIs 7.36 per cent and public & others 1.3 per cent.