Century SPARK Q2FY21 12nov20
Century SPARK Q2FY21 12nov20
Century SPARK Q2FY21 12nov20
Rs. mn \ Period Sep-20 Sep-19 Y-o-Y % Jun-20 Q-o-Q % 1HFY20 1HFY21 Y-o-Y %
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Century Plyboards Outlook Review 2QFY21 | BUY | Target Price of Rs.240
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Century Plyboards Outlook Review 2QFY21 | BUY | Target Price of Rs.240
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Century Plyboards Outlook Review 2QFY21 | BUY | Target Price of Rs.240
Revenue CAGR of 7% over FY20-FY24E led by ramp- Balance sheet would remain net cash by FY22E.
up in MDF, increased laminates exports and market Return metrics would improve from lows seen in Multiples to sustain
share gains in plywood. FY21E to 18-19% over FY22E-23E.
FY11-FY14 FY14-FY18 FY19-FY23E FY11-FY14 FY14-FY18 FY19-FY23E PE multiple FY24E EPS Price target
Revenues CAGR 11% 12% 5% RoE (%) 23% 33% 17% 18x 14.4 260
EBITDA CAGR 15% 18% 9% RoCE (%) 16% 19% 15% 20x 14.4 288
EBITDA margin 11% 16% 14% RoIC (%) 19% 26% 21%
EPS CAGR -4% 25% 16% Average 1 yr fwd
Total Asset Turnover (x) 1.66 1.58 1.54 PE (x) 13.5 20.7
Total WC days 127.6 121.3 67.1 EV/EBITDA (x) 8.5 13.6
Pre-tax OCF/EBITDA (%) 29% 91% 109% Peak 1 yr fwd
Post Tax OCF as a % of IC 6% 23% 23% PE (x) 18.3 28.3
Debt/EBITDA 2.98 1.86 0.44 EV/EBITDA (x) 10.2 19.1
TOTAL
EPS CAGR of ~12%, exit RETURN OF
Entry = Rs. 185@ 18x Cumulative Dividends of
multiple of 20x on FY24E
FY22E EPS Rs.5/share
EPS ~62%
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