India's Arvind Fashion gains as Equirus starts with 'long', St-high PT

ARVIND FASHIONS

07/01/2025 07:06

** Shares of Arvind Fashions  ARVF.NS  rise 3.7% to 522.60
rupees, set for their best day since early Sept
    ** Equirus Securities starts with "long" rating and
Street-high PT of 753 rupees
    ** Brokerage likes ARVF's margin expansion in last few years
since it exited loss-making brands
    ** Says profitability should improve materially as benefits
of last three years' corrective actions bear fruit
    ** Expects ~178 bps rise in operating margin and 33% profit
CAGR over next 3 years
    ** Says with return metrics expected to improve, stock's
current 10.5x EV/EBITDA makes it "attractive"
    ** Analysts' avg rating on ARVF rate is equivalent of
"strong buy" - LSEG data

 (Reporting by Nandan Mandayam in Bengaluru)
 ((Nandan.Mandayam@thomsonreuters.com; Mobile: +91 9591011727;))