Archive · 3 Oct 2025
Allied Blenders Shares: Brokerage Sees Upside
Imagine a company that makes alcohol, like Officer's Choice whisky.
One expert thinks the company's stock price will go up.
This is because the company is making its own bottles and expanding its production.
This will help the company save money and sell more alcohol.
The company is also building a plant to make its own malt.
This should increase its revenue and profit.
However, there are some risks, such as delays in opening new plants.
Choice Institutional Equities maintains an "Add" rating on Allied Blenders shares.
Choice projects a 15% revenue CAGR from FY25-FY28.
The company is commissioning a PET plant expected to save Rs 300 crore annually.
ABDL is setting up a 4 MLPA malt plant.
Key risks include potential delays in plant commissioning and working capital pressures.
- Who
- Allied Blenders & Distillers Ltd (ABDL)
- What
- may have further room to rally, according to Choice Institutional Equities
- When
- N/A
- Where
- N/A
- Why
- due to backward integration and capacity expansion
Risks
Opportunities
Plant Commissioning
Risks
Potential delays in plant commissioning.
Opportunities
Commissioning of the PET plant has already been planned.
- Target Price
- Rs 590
- Current Market Price
- Rs 530
- Expected Return
- 12%
- Revenue CAGR (FY25-FY28)
- 15%
- EBITDA Margin (FY28)
- 14.9%