Now Reading: Nuvama eyes 66% upside on BLS International after Q1 results
-
01
Nuvama eyes 66% upside on BLS International after Q1 results
Brokerage Nuvama Institutional Equities has reiterated a 'buy' rating on BLS International Services with a target price of Rs 431, implying a 66% upside from current levels. The recommendation follows the company's…
The Story in Brief
Brokerage Nuvama Institutional Equities has reiterated a 'buy' rating on BLS International Services with a target price of Rs 431, implying a 66% upside from current levels. The recommendation follows the company's Q1 FY27 results, where consolidated revenue grew 25.3% YoY to Rs 891 crore and net profit rose 11.4% to Rs 202 crore.
The Visa and Consular Services segment saw revenue rise 21.6%, while digital services revenue jumped 32.2% YoY. Nuvama cited higher realisations, favourable contract mix and a healthy tender pipeline as reasons for the positive outlook. The stock has gained 2.64% in a week but has slipped 17% on a year-to-date basis.
The Indian Opinion
Brokerages sing bullish tunes on BLS International, but retail investors should remember that analysts missed the stock's 17% YTD fall before this 'buy' call. The 66% upside target is based on sum-of-the-parts valuation, which can be generous if the Aadhaar and Atyati projects take time to scale. Watch the digital services margin trajectory in Q2, it is still barely 8% versus 40% in visa services. That gap tells us where real execution risk lies.
Source: livemint.com
This story was synthesised by AI from the source linked above.
