India's Bansal Wire gains after Investec starts coverage with "buy"

Bansal Wire Industries

26/08/2024 06:41

** Shares of newly-listed Bansal Wire Industries  BANW.NS 
rise 3.2% to 363.4 rupees apiece, on course to snap a
three-session losing run
    ** Rise after Investec initiates coverage of steel wire
maker's stock with a "buy" recommendation 
    ** Target price set at 440 rupees, an implied upside of 25%
    ** BANW has "created a niche for itself in the commoditized
steel/stainless steel wire market by reducing costs, offering
the widest product range and diversification," says Investec
    ** Adds BANW's initiatives to foray into steel cords and
backward integration of stainless steel rods, focus on
automation to drive 40% EBITDA CAGR growth over fiscal years
2024-2027
    ** Says valuations look undemanding due to strong growth
potential
    ** BANW has risen about 42% over its issue price of 256
rupees since trading debut on July 10 
    

 (Reporting by Bharath Rajeswaran in Bengaluru)
 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))