New Delhi, July 08, 2020: Anand Rathi has given an accumulate rating to InterGlobe Aviation (Indigo) for a 3-month target price of Rs 1,305. The share price moved down by -0.18 per cent from its previous close of Rs 1034.35. The stock’s last traded price is Rs 1032.50
IndiGo is India’s largest passenger airline with a market share of 48.9 per cent as of March, 2020. They primarily operate in India’s domestic air travel market as a low-cost carrier with focus on our three pillars – offering low fares, being on-time and delivering a courteous and hassle-free experience.
The recent correction in the stock got halted at 88.6 per cent retracement level. Near the stated level, the stock has confirmed ‘Double Bottom’ formation and has started rising. The placement of RSI indicates that the stock is preparing for fresh upside. In addition, IndiGo has confirmed higher highs and higher lows on the weekly chart which suggests change of trend according to the reports published in economictimes.indiatimes.com.
Traders can accumulate the stock between 1030 – 1000 with a stop loss of Rs 870 (Closing basis) for an upside target of Rs 1305.
Financials
For the quarter ended March 31, 2020, the company reported consolidated sales of Rs 8299.06 crore, down -16.44 per cent from last quarter sales of Rs 9931.69 crore and up 5.27 per cent from last year’s same quarter sales of Rs 7883.26 crore. The company reported net profit after tax of Rs -870.80 crore in the latest quarter.
Promoter/FII Holdings
Promoters held 74.86 per cent stake in the company as of March 31, 2020, while FIIs held 13.59 per cent, DIIs 9.16 and public and others 2.39 per cent.
