Motilal Oswal initiates coverage on Vishal Mega Mart stock with Buy rating
Investing.com
Published Jul 16, 2025 01:45AM ET
Investing.com - Motilal Oswal Securities initiated coverage on Vishal Mega Mart Ltd (VMM:IN) with a Buy rating and a price target of INR165.00.
The research firm describes VMM as "one of India's largest offline-first value retailers" serving approximately 1 billion people across middle and low-income segments, with 696 stores across 458 cities primarily in tier 2+ locations.
Motilal Oswal highlights VMM's diversified product mix across Apparel (44%), General Merchandise (28%), and Fast-Moving Consumer Goods (28%), along with its strong private brands portfolio that accounts for 73% of revenue.
The firm projects VMM will achieve revenue and EBITDA compound annual growth rates of 19% and 20% respectively, driven by approximately 13% CAGR in store additions, consistent double-digit same-store sales growth, and modest operating leverage benefits.
With VMM's debt-free balance sheet and cost control measures, Motilal Oswal forecasts a 24% profit after tax CAGR and cumulative pre-IND-AS operating cash flow and free cash flow generation of approximately INR32 billion and INR23 billion over FY25-28.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
Get The News You Want
Written By: Investing.com
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.