1.

Miss sharma wanted to invest in share of PQRS PVR ltd (MNC).Thus she analyze the financial system of this company but as a layman she could not understand the financial system properly.Thus consulted Mr Borah (a registered broker).What suggestions you are expecting from Mr Borah for Miss sharma to invest her share in pqrs pvt ltd by analyzing the financial system of this company?​

Answer»

Answer:

CMP: ₹1,005.5

Target: ₹1,408

PVR’s Q4FY20 revenue was in-line while EBITDA margin (adjusted for AS-116 impact) was a miss to our forecast. Consolidated revenue of ₹645.1 crore declined by 23 per cent y-o-y. Consolidated EBITDA margin of 6.6 per cent declined by 1260 BPS y-o-y versus our forecast of 8.1 per cent.

PVR has added 24 screens in Q4FY20 and 87 screens in FY20 which is the highest EVER for the INDUSTRY. While PVR has not given FY21 screen addition target, it has 20-50 screens in various stages of fit-outs. Further, PVR plans to raise ₹300 crore to strengthen its B/S AMID the Covid-19 pandemic.

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