IDBI Capital Initiates Buy On Jamna Auto – Initiated ‘Buy’ with a price target of Rs 107.
✅ Demand for parabolic spring to raise due to higher tonnage trucks.
✅ Believe the opportunity for increase in content per vehicle is enormous.
✅ Increase in truck axle load by 20-22 percent would help boost aftersales segment.
✅ M&HCV tonnage growth to outpace volume growth.
✅ Big push to infrastructure projects – a key demand driver in mid-term.
✅ Expect revenue, Ebitda and net profit growth rate at 19 percent, 25 percent and 30 percent respectively over the fiscal 2018-2020.