Capex budget: 600 cr
To be completed by Q4 FY 25. That is March 25.
By Jan 2026 everything is operationalized.
Total net block = 300 (before) + 600 = 900 Cr
Latest net fixed asset turns = 5.25
Total revenue generated by Jan 2026= 900*5.25= 4725 cr ( current 1500 cr).( 3.15x~3x)
Net margin latest = 25%
Net profit Jan 2026= 1181 Cr. (Current= 400 Cr)( 2.9x~3x)
CAGR for 4 (conservative estimate) yrs after tripled profits= 114/4 = 28.5 % CAGR approx
Is this a fair way to estimate future revenue & earnings potential? If it does work out then, would it be fair to also estimate that the share price will at least triple if things go as planned and PE remains stable or improves?
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