Dalal Broacha Gati Ltd
Dalal & Broacha
Stock Broking Pvt. Ltd.
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Initiating Coverage @ Dalal & Broacha
Gati Ltd.
Ankit Panchmatia (Research Analyst)
(022) 6714 1449
Milind Karmarkar (Head Research)
(022) 6630 8667
Sandeep Shah/Nilay Dalal (Equity Sales)
(022) 6714 1443
January 20, 2015
ACCUMLATE
Curre nt Pri ce
Ta rge t Pri ce
Upside
52 We e k Ra nge
KEY SHARE DATA
Ma rket Ca p
EV / Sa l es
EV / EBIDTA
Vol ume (BSE + NSE)
No of o/s s ha res
Fa ce Va l ue
Book Va lue
BSE / NSE
Reuters
Bl oomberg
SHAREHOLDING (%)
Period
Promote rs
MF / Ba nks / FI
FII
Publ i c & Othe rs
Total
900
Rs 277
Rs 332
20%
Rs 32 / Rs 342
India, with 16% of the global population, prospective strong GDP growth and increasing E-commerce penetration is likely to present huge business opportunity for the logistics sector. This is also apparent from the fact that international giants like UPS & DHL see significant growth in their business being driven by
India and China.
Well-geared to capitalize on emerging economy
In India, nearly 40% of the logistics market is unorganized. We expect
Rs 24.0 BN/$399.7MN consolidation in the sector and the share of unorganized sector to reduce further.
With a market share of ~16% in surface segment, Gati is all set to emerge as one
2.2
of the key beneficiaries of the overall GDP and trade growth.
34.4
423764
86.6
2
90.9
532345 / GATI
GATI.BO
GTIC IN Equi ty
Sep-14
38.1
8.1
0.2
53.6
100.0
Gati
Jun-14
34.9
0.3
6.5
58.3
100.0
Sensex
800
700
600
Positive synergies from Kintetsu World Express
KWE caters to supply chain requirements of a wide base of global customers.
Indian operations of these customers will be served by Indian JV (Gati-KWE), due to which it has recently signed couple of large Japanese customers like Sharp,
Idemitsu, Sony, Pioneer etc. One of the key strategies for KWE is to expand its presence in emerging countries and India is most preferred.
Vast domestic reach to capitalize on E-Commerce Logistics
Gati is one of the largest players in road
Stock Broking Pvt. Ltd.
..
..
..
..
..
Initiating Coverage @ Dalal & Broacha
Gati Ltd.
Ankit Panchmatia (Research Analyst)
(022) 6714 1449
Milind Karmarkar (Head Research)
(022) 6630 8667
Sandeep Shah/Nilay Dalal (Equity Sales)
(022) 6714 1443
January 20, 2015
ACCUMLATE
Curre nt Pri ce
Ta rge t Pri ce
Upside
52 We e k Ra nge
KEY SHARE DATA
Ma rket Ca p
EV / Sa l es
EV / EBIDTA
Vol ume (BSE + NSE)
No of o/s s ha res
Fa ce Va l ue
Book Va lue
BSE / NSE
Reuters
Bl oomberg
SHAREHOLDING (%)
Period
Promote rs
MF / Ba nks / FI
FII
Publ i c & Othe rs
Total
900
Rs 277
Rs 332
20%
Rs 32 / Rs 342
India, with 16% of the global population, prospective strong GDP growth and increasing E-commerce penetration is likely to present huge business opportunity for the logistics sector. This is also apparent from the fact that international giants like UPS & DHL see significant growth in their business being driven by
India and China.
Well-geared to capitalize on emerging economy
In India, nearly 40% of the logistics market is unorganized. We expect
Rs 24.0 BN/$399.7MN consolidation in the sector and the share of unorganized sector to reduce further.
With a market share of ~16% in surface segment, Gati is all set to emerge as one
2.2
of the key beneficiaries of the overall GDP and trade growth.
34.4
423764
86.6
2
90.9
532345 / GATI
GATI.BO
GTIC IN Equi ty
Sep-14
38.1
8.1
0.2
53.6
100.0
Gati
Jun-14
34.9
0.3
6.5
58.3
100.0
Sensex
800
700
600
Positive synergies from Kintetsu World Express
KWE caters to supply chain requirements of a wide base of global customers.
Indian operations of these customers will be served by Indian JV (Gati-KWE), due to which it has recently signed couple of large Japanese customers like Sharp,
Idemitsu, Sony, Pioneer etc. One of the key strategies for KWE is to expand its presence in emerging countries and India is most preferred.
Vast domestic reach to capitalize on E-Commerce Logistics
Gati is one of the largest players in road