Spicejet Ltd.

NSE: SPICEJET | BSE: 500285 | ISIN: INE285B01017 | Industry: Airlines
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50.0000 -0.86 (-1.69%)
BSE Apr 22, 2025 12:42 PM
Volume: 2.1M
 

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Spicejet Ltd.
14 Nov 2019
50.00
-1.69%
HDFC Securities
Maintain BUY as (1) SpiceJet will benefit from the improving industry structure in the medium term (2) Fuel prices remain benign, which will allow for better cost management (3) Further, any resolution with regards to the 737 MAX planes will improve the cost structure of the low cost carrier. The stock is trading at reasonable valuations of 9.6/6.7/5.9x EV/EBITDAR on FY20/21E/22E. SpiceJets 2QFY20 results were weaker than expected (Reported loss of Rs 4.6 bn) due to the adverse impact from the grounding of the 737 MAX planes as well as seasonality. We have lowered our EBITDAR estimates by ~ 15% over FY20-22 to factor in the above. Maintain BUY with a revised TP of Rs 140 (at 7x Sep-21E EV/EBITDAR).
Spicejet Ltd. is trading below its 100 day SMA of 50.8
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