Hold Britannia Industries Ltd. with a target of Rs 3222 : Geojit BNP Paribas Financial Services

Geojit BNP Paribas Financial Services has Hold call on Britannia Industries Ltd. with a target price of Rs 3222 . The current market price of Britannia Industries Ltd. is 2905 . Time period given by analyst is year when Britannia Industries Ltd. price can reach defined target. Geojit BNP Paribas Financial Services Britannia industries Limited's focus on widening its distribution network (added 80,000 outlets), and increased penetration in rural markets yielded good volume growth of 7%YoY in Q2FY17 leading to 11.3%YoY improvement in revenue. Management is confident of maintaining growth momentum on the back of good monsoons and benefits from 7th pay commission. Further, with cost saving programs being implemented (cost savings of Rs 170 Cr expected in FY17), we factor revenue/PAT growth of 11%/14.7% CAGR over FY16- 18E