Safari Industries India Ltd., best known for its travel gear and luggage business, has been one of the biggest wealth creators in the consumer space over the last five years, delivering a whopping 1,013% return.
But 2025 has been a rough patch, with the stock down 19% year-to-date. Despite the correction, analysts tracking the stock remain largely bullish.
Out of the 11 analysts covering Safari, eight have a ‘buy’ rating on the stock, two recommend ‘hold’ and one suggests selling, according to Bloomberg data. The average of 12-month price targets is Rs 2,446.8, implying a potential upside of 14.3% from current level.
Strong Recovery, Profit Jump
Safari clocked consolidated revenue of Rs 1,550 crore in financial year 2024, up 28% year-on-year from Rs 1,212 crore. Net profit jumped 41% to Rs 176 crore, led by operating leverage and strong consumer demand during peak travel and festive seasons.
Earnings before interest, tax, depreciation and amortisation came in at Rs 291 crore, growing 41% from the previous year. The Ebitda margin also expanded to 18.8% from 17% in the year-ago period.
Safari increased its manufacturing capacity and announced a 1:1 bonus share issue during the year. The company also declared a final dividend of Rs 1.5 per share and an interim dividend of Rs 2.5 per share during the year.
Its wholly owned subsidiary, Safari Manufacturing Ltd., reported a nearly threefold increase in revenue to Rs 323 crore and contributed significantly to consolidated profits.
While the recent dip in stock price reflects valuation reset and possible demand normalisation post-pandemic boom, Safari remains a structurally strong player in a growing market.
. Read more on Markets by NDTV Profit.Safari Industries posted a 41% profit rise in FY24 and analysts maintain a mostly ‘buy’ stance on its shares, citing long-term growth potential and a target price of Rs 2,446.8. Read MoreMarkets, Buzzing Stocks, Notifications
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