Citi cuts earnings estimates for India's Exide Industries, stock slips

Exide Industries

19/09/2024 08:58

** Shares of Exide Industries  EXID.NS  drop about 3.5% to
455 rupees apiece
    ** Company that manufactures batteries and power storage
systems for original equipment manufacturer will see an earnings
moderation in fiscal years 2025 and 2026 due to sluggishness in
volume growth in auto industry, says Citi
    ** Citi maintains "buy" on EXID, but cuts target price to
560 rupees from 610 rupees earlier
    ** Auto revenue constitutes 69% of EXID's overall revenue
    ** Brokerage trims earnings estimates by 12% for fiscal year
2025 and 9% each for FY 2026 and 2027
    ** Mean recommendation of 17 analysts tracking EXID is
"hold", median target price is 502 rupees - LSEG data
    ** EXID shares up 43.3% in 2024 so far, outperforming the
small-cap 100 index  .NIFSMCP100 , of which it is a constituent 

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