Indo Count Industries is in Textile sector stock. As you know the textile sector is booming like anything. All fundamentally good textile sector stock rose like anything (examples are KPR Mills, Nitin Spinners etc).
The company is Manufacturing bedding, quilts pillows, sleeping bags, and the Preparation and spinning of cotton fiber including blended cotton.
The company has huge growth potential. The operating profit of the company has increased from Rs 183 Cr (FY 2019-20) to Rs 415 Cr (FY 2020-21). Operating profit margin has also increased from 9% to 16%, which is a huge jump in the latest financial year. EPS has grown from 3.74 to 12.7.
FIIs have also increased their stake continuously in the last few years which good sign for its share price to touch higher highs.
So, the company is very sound fundamentally with a 3300cr market cap.
Technical Study
The share price of the company is trading within a range (163-180) for the last 3 weeks. It may break out from this consolidation. Its first target could be 208 and 2nd target could be 268. Both the target are calculated through the Fibonacci method.
I expect, first target in 3 months (22%) time and 2nd target in 6month – 1 year (56% Up).
You may also visit their website – https://www.indocount.com/
Disclaimer: I am not a SEBI registered advisor. This research is not a Buy recommendation from my side. Take your decision after consulting your financial advisor.
