Preview: India's Asian Paints drops ahead of Q3 results

Berger Paints India

04/02/2025 04:17

** Shares of Asian Paints  ASPN.NS  fall 0.7% ahead of Q3
results due later in the day; benchmark Nifty 50  .NSEI  up 0.9%
    ** Analysts, on avg, expect the paintmaker to report a ~21%
y/y fall in Q3 consol profit to 11.42 bln rupees ($131.3 mln),
per data compiled by LSEG
    ** At least three brokerages said demand slowdown in the
industry persisted in Q3, after weak growth in H1, due to
increased competition, lower volumes and pricing pressures
    ** ASPN first to report Q3 results among major Indian paint
companies
    ** Analysts on avg rate ASPN "hold", same as peers Berger
Paints  BRGR.NS  and Kansai Nerolac  KANE.NS  -LSEG data
    ** YTD ASPN, BRGR up 0.5% and ~8%, while KANE down ~7.5%
    ** ASPN's fwd 12-month PE is 45x, 11th highest on Nifty 50
and just higher than BRGR's 44x; KANE's PE is 27x -LSEG
 
 ($1 = 86.9720 Indian rupees)

 (Reporting by Manvi Pant in Bengaluru)
 ((Manvi.Pant@thomsonreuters.com; +918447554364;))