TV Today Network Initiating Coverage Report By Angel Broking
| TV Today Network Initiating Coverage Report By Angel Broking | |
| Company: | TV Today Network |
| Brokerage: | Angel Broking |
| Date of report: | August 4, 2016 |
| Type of Report: | Initiating Coverage |
| Recommendation: | Buy |
| Upside Potential: | 22% |
| Summary: | Go with the market leader |
| Full Report: | Click here to download the file in pdf format |
| Tags: | Angel Broking, TV Today Network |
| Outlook and Valuation: We expect TV Today Network to report a net revenue CAGR of ~16% to ~ Rs. 743cr and net profit CAGR of ~16% to Rs. 128cr over FY2016-18E. TV Today Network has sustained its leadership position in Hindi news genre for 14 consecutive years while in the English news genre it currently holds the No.2 position. Further, the exit from the radio business should boost profitability. TV Today Network is debt free with Rs. 201cr of cash on its balance sheet. At the current market price of Rs. 297, the stock trades at a PE of 16.2x and 13.9x its FY2017E and FY2018E EPS of Rs. 18.4 and Rs. 21.4, respectively. We initiate coverage on the stock with a Buy recommendation and target price of Rs. 363 based on 17x FY2018E EPS, indicating an upside of ~22% from the current levels. |
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