Delhivery shares close in on IPO price yet again after Motilal Oswal projects 26% upside

Delhivery shares close in on IPO price yet again after Motilal Oswal projects 26% upside


Shares of Delhivery Ltd. increased over 2% on Monday, June 22, after Motilal Oswal Financial Services (MOSL) reiterated its ‘buy’ rating on the stock, citing strong growth in its express parcel and part-truckload (PTL) businesses.

The brokerage maintained its target price of ₹580 per share, implying an upside of nearly 26% from the stock’s Friday closing price of ₹461.1. Delhivery shares were trading around ₹468.85 on Monday morning, up 1.7%.

MOSL said Delhivery’s express segment recorded 73% year-on-year volume growth during the fourth quarter of FY26, including the impact of the Ecom Express acquisition, despite a challenging operating environment marked by the West Asia crisis and the seasonal moderation typically seen after the festive-led third quarter.

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The brokerage attributed the growth to healthy consumption-led demand, increased outsourcing by customers and sustained momentum from large e-commerce players.

MOSL said margins remained robust, supported by strong volumes and tight cost controls.

The brokerage also highlighted a structural turnaround in Delhivery’s PTL business. PTL service EBITDA margins improved to 13.4% in the fourth quarter from a negative 8.5% in the first quarter of FY24.

According to MOSL, the improvement was driven by a favourable shift in customer mix towards higher-yielding SME and retail customers, rationalisation of low-profit contracts and expansion of the sales team, which strengthened customer acquisition and pricing discipline.

Bloomberg data shows that 23 analysts cover Delhivery, of which 19 have a ‘buy’ recommendation, while three recommend ‘hold’ and one has a ‘sell’ rating.

The average analyst target price stands at ₹561.86, implying a potential upside of about 19.4% from current levels.

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