MapMyIndia shares can give up to 30% returns in long term, says Anand Rathi

 MapMyIndia shares can give up to 30% returns in long term, says Anand Rathi

MapMyIndia share price has been on an upward trajectory since the beginning of the new year 2023. The tech-enabled stock has made a strong comeback after hitting a 52-week high of ₹1,022 per share on the NSE in January 2023. MapMyIndia share price today is around ₹1,166 per share. This is 14 per cent higher than the 52-week low. This has attracted the attention of market observers and retail stock investors. Anand Rathi believes that the stock can go towards ₹1500 level in the long term, giving its shareholders a return of pf 30 per cent.

Being bullish on MapMyIndia shares, Anand Rathi says, “Considering the impact on EBITDA due to higher growth from low margin IoT-led business, we have revised our FY23e/FY24e EBITDA growth to 4.4%/7.4% Cut and introduce FY25e. We maintain our Buy rating on the stock with a lower TP of Rs 1,500 (45x FY25 earnings). Given that MMI has clear advantages in the India context, are not easily repeatable and which prove to be a major hindrance to the maps and navigation business. , we believe the premium valuations should bear."

“We forecast 35.8% revenue CAGR over FY23-FY25 based on FY23 opening order book of Rs7bn, up ~86% y/y (~24% of this recognized in FY23 itself) and from Gtrophy We expect the A&M business to register 30% CAGR over FY23-FY25, and the C&E business to register 43% CAGR," said Anand Rathi. "We all have Google Maps because of its accessibility through Android phones know. MapMyIndia is just as big but, unfortunately, still unknown. A B2B and B2B2C market leader in India, MMI was an early mover (1995) in digital mapping of India. It pioneered digital-mapping technologies , such as an AI-powered 4D high-definition digital map of the real world, and an N-CASE mobility suite for digital vehicles, etc."

On a suggestion to positional investors regarding MapMyIndia shares, Anand Rathi said, "We maintain our Buy rating on the stock with a lower TP of ₹1,500 (45x FY25 Earnings)."