India's Shiprocket slips; Axis Capital flags competition risks in coverage initiation
BUZZ-India's Shiprocket slips; Axis Capital flags competition risks in coverage initiation ** Shares of Indian logistics platform Shiprocket SIPO.NS fall 2.92% to 126.15 rupees
** Axis Capital initiates coverage of the co with an "add" rating and a PT of 142 rupees
** Brokerage flags rising competition in the marketing technology business, potential loss of large customers and dependence on third-party logistics providers as key concerns
** Says the co is well placed to benefit from growth in India's direct-to-consumer market, with about 20% share of D2C shipping volumes
** Sees the marketing technology business as a key growth driver, supported by the ability to cross-sell services to about 200,000 merchants
** Forecasts FY26-FY29 revenue CAGR of 18% in the core business and 57% in emerging segments, with improving margins
** Stock down 3.7% since its Aug 19 listing
(Reporting by Surbhi Misra in Bengaluru)
((Surbhi.Misra@thomsonreuters.com | X: https://twitter.com/SurbhiMisra_ |;))
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