UBS has begun coverage of Page Industries with an INR 44,000 target price, highlighting improving revenue and reduced legal risk while warning that cotton costs continue to weigh on profitability.
UBS has initiated coverage on Page Industries with a target price of INR 44,000, drawing fresh attention to a stock that has been balancing improving sales with lingering pressure on profitability. The call, reported by Investing.com, comes as investors weigh whether the maker of Jockey and Speedo-branded apparel can turn a modest top-line recovery into stronger earnings momentum.
The analyst view follows a period in which legal risk eased. Page Industries first disclosed in early September that it had received notice of an AED 113.55 million claim from Yellow Flower Trading LLC in Dubai over an alleged dispute tied to a distribution agreement. But the Dubai Court dismissed the case on 21 September after the claimant failed to deposit court-ordered expert fees, and it ordered Yellow Flower Trading to pay court costs and a token amount towards advocates’ fees, according to reports from Sahi Markets and Investywise.
That legal outcome removed an overhang, yet the operating picture remains the more important test for the company. Sahi Markets reported that Page Industries posted revenue of INR 14.20 billion in the June-to-September quarter, up 7.9% from a year earlier, while profit after tax fell 3.98% to INR 1.93 billion. The company therefore delivered growth in sales but not yet in earnings, suggesting that pricing power and cost control remain central to the investment case.
DSIJ reported that management kept its FY27 EBITDA margin guidance at 19% to 21%, down from 22% in FY26, with cotton inflation cited as a drag on gross margins. The same report said fourth-quarter FY26 revenue rose 14% year on year to INR 12.53 billion, showing that demand has improved, even if input costs have limited the benefit. For investors, the next statutory results deadline, which Univest put at 14 November 2026, should offer the clearest read on whether the company can close the gap between sales growth and profit growth. As of 13 October 2026, Page Industries had a market value of about INR 413.8 billion on the NSE, underscoring its scale even as the stock continues to trade around questions of margin recovery.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
