Company has guided 5000 Cr revenue in next 4 to 5 years. Company has guided 16% to 17% EBIDTA.
Current revenue is at Rs 2700 cr it means it will doubele its revenue in next 4 years. Even if I take 13% NP of revenue total net profit for 2028 would be - Rs 650Cr
Considering 50 multiple for this company market cap would be Rs 32500 Cr.
It would double in next 4 to 5 year.
I get really scared when stock has to run only on EPS and not on multiple[PE] expansion. It’s really hard to make multibagger returns on only one engine.
[last 3 year]
Check ITC or Tata elxsi both Increased their revenue and then their Multiples expanded. Which resulted in multibagger returns.
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