ट्रेंडिंग

Voltas Share Price may go down to Rs 1805 today, keep an eye

Voltas Ltd., a leading player in the Indian consumer durables and air conditioning market, has seen its share price rise by 4.96% in the past week, closing at ₹1,759.05 on Wednesday. The stock has been on an upward trajectory, with a 26.56% gain in the last three months and a 112.59% jump over the past year.

The recent surge in Voltas’ share price can be attributed to the company’s strong financial performance and positive outlook. In the year ending March 31, 2024, Voltas reported a consolidated revenue of ₹14,042.37 crore, a 32% annual growth rate that outperformed its 3-year CAGR of 17.83%. The company’s pre-tax margin stood at 5%, while its ROE was 4%, indicating a healthy financial position.

Voltas’ Diversified Business Model Drives Growth

Voltas operates through two main business segments: Unitary Cooling Products (UCP) for comfort and commercial use, and Engineering Projects and Services (EPS). The UCP segment, which includes air conditioners, water dispensers, and refrigerators, has been a significant contributor to the company’s growth. Voltas’ joint venture with Arçelik A.Ş., Voltas Beko Home Appliances Pvt. Ltd., has also been rapidly expanding its presence in the Indian home appliances market.

The EPS segment, which provides engineering solutions both domestically and in the Middle East, has also been performing well, with the company securing several major projects in recent years. Voltas’ diversified business model and strong brand recognition have helped it navigate the challenges posed by the COVID-19 pandemic and maintain its market leadership.

Cipla Share Price may remain bullish till Rs 1680, add it to watch list immediately

HAL share price may fall to Rs 4528, read analysis for next 7 days

Analysts Bullish on Voltas’ Growth Prospects

Analysts are bullish on Voltas’ growth prospects, with a mean recommendation of “Hold” from 35 analysts. JM Financial has set a target price of ₹1,790 for the stock, indicating a potential upside of around 1.7% from the current levels. The company’s strong brand, innovative product portfolio, and focus on expanding its distribution network are expected to drive future growth.

Voltas’ debt-to-equity ratio of 0.12x and interest coverage ratio of over 100x suggest a strong balance sheet and low financial risk. The company’s consistent dividend payouts, with a dividend yield of 0.31%, have also made it an attractive investment option for long-term investors.

Voltas’ Subsidiaries and Joint Ventures Expand Footprint

Voltas’ subsidiaries and joint ventures have been actively expanding their footprint in the Indian market. Universal MEP Projects & Engineering Services Limited (UMPESL), a wholly-owned subsidiary, has been executing several major projects in the Middle East. Weathermaker FZE, a subsidiary based in the Jebel Ali Free Zone, United Arab Emirates, has also been contributing to the company’s international operations.

Voltas Oman SPC, a subsidiary in Muscat, Sultanate of Oman, has been providing engineering solutions and services in the region. The company’s joint venture with Arçelik A.Ş., Voltas Beko Home Appliances Pvt. Ltd., has been rapidly expanding its product portfolio and distribution network in India.

Voltas’ Focus on Innovation and Sustainability

Voltas has been at the forefront of innovation in the consumer durables and air conditioning market. The company has been investing in research and development to develop energy-efficient and eco-friendly products. Voltas’ focus on sustainability has also been reflected in its efforts to reduce its carbon footprint and promote the use of renewable energy.

The company’s commitment to innovation and sustainability has been recognized by various industry bodies and awards. Voltas has been consistently ranked among the top companies in the Indian consumer durables and air conditioning market

Disclaimer: The information given in this article is from investment experts and brokerage companies, they do not represent Local Haryana. Before taking any investment related decision, you must consult a certified expert.

Jiya

Jiya Singh is an experienced Hindi and English news writer with nearly 5 years of experience in the media industry. She started her career with an online news website Newz Fast, where she worked in many sections including Hindi news and business. She loves writing and reading news related to technology, automobile and business. She has covered all these sections extensively and presented excellent reports for the readers. Jiya Singh has been trying to provide correct and accurate information to the readers on Local Haryana for the last 1 year.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button