BofA starts India's Shiprocket at 'neutral', says valuation fairly prices growth
BUZZ-BofA starts India's Shiprocket at 'neutral', says valuation fairly prices growth ** BofA initiates coverage of India's Shiprocket SIPO.NS with "neutral" rating and PT of 145 rupees, implying ~21% upside from Friday's close for the e-commerce enablement platform
** Brokerage sees strong growth potential from India's direct-to-consumer and small-business markets, but says SIPO's current valuation already reflects much of the upside
** Flags continued losses in co's emerging businesses as key downside risk; expects segment to reach adjusted EBITDA breakeven only in FY29
** Sees co turning profitable in FY28 with adjusted net income of 1.72 billion rupees ($17.93 million), rising to 3.68 bln rupees in FY29
** Shares of SIPO down 1.36% at 118.62 rupees; stock has fallen ~9.5% since August 19 listing
($1 = 95.9100 Indian rupees)
(Reporting by Surbhi Misra in Bengaluru)
((Surbhi.Misra@thomsonreuters.com | X: https://twitter.com/SurbhiMisra_ |;))
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