Buy Campus Activewear, target price Rs 340: JM Financial

JM Financial maintains buy call on Campus Activewear with an unchanged target price of Rs 340. The current market price of Campus Activewear is Rs 297.6. The time period given by the analyst is a year when Campus Activewear price can reach the defined target. Campus Activewear, incorporated in 2008, is a Small Cap company with a market cap of Rs 9073.39 crore, operating in Leather sector.

Campus Activewear’s key products/revenue segments include Leather & Leather Goods, Scrap and Other Operating Revenue for the year ending 31-Mar-2024.

Financials
For the quarter ended 31-03-2025, the company has reported a Standalone Total Income of Rs 411 crore, down -20.73% from last quarter Total Income of Rs 518.50 crore and up 12.18% from last year same quarter Total Income of Rs 366.39 crore. The company has reported net profit after tax of Rs 35.03 crore in the latest quarter. The company’s top management includes Mr.Hari Krishan Agarwal, Mr.Nikhil Aggarwal, Mr.Nitin Savara, Mr.Jai Kumar Garg, Ms.Madhumita Ganguli, Mr.Anil Kumar Chanana. Company has B S R & Associates LLP as its auditors. As on 31-03-2025, the company has a total of 31 crore shares outstanding.

Investment Rationale
The Campus Activewear management?s efforts in the form of (i) channel and reach expansion, (ii) backward integration, warehouse consolidation, and SAPimplementation to improve the supply chain, (iii) increased focus towards brand building, and (iv) shift towards a more market place model vs. outright earlier will help to drive growth along with steady margin expansion. JM Financial largely maintains its FY26-27 EPS (Pre-IndAS) estimates and maintains BUY with an unchanged target price of Rs 340, based on 50x EPS (Pre Ind AS 116) Mar-27. Promoter/FII Holdings
Promoters held 72.14 per cent stake in the company as of 31-Mar-2025, while FIIs owned 6.6 per cent, DIIs 11.12 per cent.