Buy Prince Pipes and Fittings; target of Rs 440: Motilal Oswal
Motilal Oswal's research report on Prince Pipes and Fittings
Prince Pipes and Fittings (PRINCPIP) hosted an analyst meet on 18th Sep’25, where it highlighted the current demand-supply and pricing scenarios in the PVC pipes industry. The PVC pipes market remains under pressure due to volatile PVC prices and a weak demand environment. In addition, the delay in the implementation of anti-dumping duty (ADD) has created uncertainty within channel partners, putting pressure on the PVC prices market domestically. Given that 2Q is seasonally weak, the company anticipates a healthy demand outlook in 2HFY26, thereby maintaining its guidance for FY26.
Outlook
We expect ~12% volume CAGR over FY25-28 with margin expansion, as operating leverage and product mix benefits play out. Structural demand drivers such as government housing schemes, plumbing upgrades, and GST rationalization should provide tailwinds in 2HFY26 and beyond. We maintain BUY with a TP of INR440 (based on 30x FY27E EPS).
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Prince Pipes and Fittings - 19-09-2025 - moti