Mazagon Dock Shipbuilders shares a buy? Multibagger stock receives 25% upside target
Disappointing March quarter results sent shares of multibagger defence PSU Mazagon Dock Shipbuilders Ltd tumbling 7 per cent on Friday. But Nirmal Bang Institution Equities has retained its ‘Buy’ call and upped its valuation multiple for the stock by 71 per cent to arrive at a target of Rs 4,350 apiece. The target price suggests a potential 25 per cent upside for the stock ahead.
Nirmal Bang said Mazagon Dock Shipbuilders Ltd is trading at a 1-year forward PE ratio of 36.20 times. Despite the stock rallying 43 per cent since its preview note on April 11, Nirmal Bang said it now values the stock at 45 times March 2027 EPS (+2 SD above mean), which is above its three-year average PE of 20.1 times, with a target price of Rs 4,350…
