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  4. Adani Wilmar can still make some more money for investors — here's why

Adani Wilmar can still make some more money for investors — here's why

Adani Wilmar can still make some more money for investors — here's why
Stock Market2 min read
  • Shares of newly listed Adani Wilmar skyrocketed by almost 20% today after a bummed out market capped the stock’s listing day gains.
  • Adani Wilmar is a leader in branded edible oils with the brand ‘Fortune’ and packaged foods in India.
  • Analysts say the stock can go up to ₹380 to ₹468 in the next one year.
The entire market was bummed out when Adani Wilmar debuted on Tuesday but the stock has spiked a lot faster than the rest of the market. Those who got shares allocated in the IPO have already seen a ₹5,733 profit on each lot worth ₹14,950.

So, now what? Should you buy more, hold what you have or just take the profit home? Analysts say there may be more money to be made in Adani Wilmar. Here’s why.

The company has a lot going for it. Akhil Rathi, vice president — advisory at Marwadi Shares and Finance, listed out an outstanding product mix, established brand name, robust distribution network, varied client base, and proven financial performance as some of its strengths.
But that’s not all. The company’s portfolio of products spans across three categories -- edible oil, packaged food and FMCG, and industry essentials.

“Those who applied for listing gain can maintain a stop loss of ₹200 while long-term investors should hold it. New investors can also look at buying opportunities at initial weakness,” Santosh Meena, head of research at Swastika Investmart.
Analysts

Target price

Ventura Securities

₹468.8

Ravi Singhal, vice-chairman at GCL Securities

₹377

Ravi Singh, vice President & head of research at ShareIndia

₹350-380

Adani Wilmar's future growth strategy is focusing on value-added products with the launch of edible oil products, rice bran health oil, fortified foods, ready-to-cook soya chunks, khichdi and more.

“The company has a strong raw material base and was one of the largest importers of edible oil in the year 2021. We can consider this stock on a long term basis, the best buying strategy could be buying at the dip,” said Manoj Dalmia, founder and director at Proficient equities.

SEE ALSO: Delhi government’s latest policy has made alcohol up to 40% cheaper in the national capital
Inox Green Energy will be using ₹7 out of ₹10 from the IPO to repay its debts

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