India's Shanthi Gears hits record high on HDFC Securities' bullish view

Shanthi Gears

23/05/2023 08:01

** Shares of Indian gear maker Shanthi Gears  SHNT.NS  rise
as much as 1.3% to hit record high at 444.85 rupees
    ** Brokerage HDFC Securities says co to benefit from likely
increase in demand for gears, led by strong growth in steel,
cement, power, and paper industries 
    ** Rating house adds possibilities of jointly marketing
products could lead to strong topline growth and lower costs,
resulting in "margin expansion going forward"
    ** Govt focus on infrastructure sector, healthy financial
and strong order inflows and execution "key triggers" - HDFC
analysts 
    ** However, analysts also flag risk of margin susceptibility
to raw material cost fluctuations 
    ** SHNT has risen ~27% so far this year

 (Reporting by Hritam Mukherjee in Bengaluru)
 ((Hritam.Mukherjee@thomsonreuters.com;))