Liberty Shoes Ltd. share price target

Valuation: We expect, the company's revenue/earnings to grow at a CAGR of ~13%/~48% over FY16p-18e respectively led by increasing demand for branded footwear, diversified product portfolio and reduction in raw material prices. At CMP of Rs.176, the stock is trading at a PE of 15x/12x of FY17e/18e. We maintain our BUY rating on the stock with the target price of Rs.290 (at a...

Strengthening store network: The company is aggressively strengthening its pan India presence and added 40 new outlets of franchisees and company owned & company operated (COCO) in FY15-16. The company continue to find...

Liberty Shoes reported 2QFY16 result. revenue declined by 28.5% YoY to Rs 1.0bn vs 1.4 bn in 2QFY15. EBITDA margin expanded by 141 bps to 9.1% Vs 6.4% YoY on account of lower cost of raw material,...

The company is in the process of consolidation of its group companies to bring all of its business units under one roof and to provide more transparency in corporate governance to its stakeholders. Phase I was already completed with the merger of its subsidiary, Liberty Retail Revolution Ltd and the management announced thatthe company is now under the process (Phase II) of acquiring the assets including plant & machinery held by its group concerns Liberty Enterprises and Liberty Group Marketing Division.

Subdued Profit But Healthy Margins; maintain BUY Liberty Shoes reported 1QFY16 result with revenue growth of ~8% YoY to Rs1.09bn vs 1.01bn. EBITDA grew by ~18.5%YoY due to...

Liberty Shoes ltd (LSL) 4QFY15 results were below our expectation of Rs 1.6bn (var. ~18%). Revenue declined by ~5% YoY to Rs 1.3bn vs 1.4bn due to less demand in last quarter. EBITDA margin expanded by...

/earnings to grow at ~16%/~26% CAGR over FY14-18E respectively. This is due to volume growth, aggressive retail expansion and margins expansion. At CMP of Rs 261, the stock is trading at around 23x FY15E PE. We value the...