Company Background :
Coffee Day Enterprises Limited primarily operates café coffee outlets in India and internationally. It operates through Coffee and Related Business, Integrated Multimodal Logistics, Financial Services, Leasing of Commercial Office Space, Hospitality Services, and Investment segments. The company operates a network of 1,682 café outlets under the Café Coffee Day, The Lounge, and The Square names in 241 cities; 537 Coffee Day Xpress kiosks in 22 cities in India; and 41,845 vending machines in corporate workplaces and hotels, as well as provides coffee beans and powder through its 415 Fresh and Ground Coffee retail stores.
It also provides integrated logistics services, such as port handling, road and rail, logistics, container freight stations, and mining. In addition, the company develops and manages technology parks and related infrastructure for information technology (IT)/information technology enabled services (ITeS) enterprises in Global Village and Tech Bay, Karnataka. Further, it owns and operates three luxury resorts located in Chikmagalur, Bandipur, and Kabini, Karnataka under The Serai brand name; and offers wealth management, broking, portfolio management, and investment advisory services, as well as investments in other companies. Additionally, the company exports cured coffee to Europe, the Middle East, and Japan. Coffee Day Enterprises Limited was founded in 1993 and is headquartered in Bengaluru, India.
Stock Performance:
During the last 1 year the scrip has given following returns
The scrip has touched a low of 196 and a high of 282. The delivery volumes have increased indicating increased interest by investors. Large deals indicates fund buying at lower levels.
1 year - 30.39%
6 months - 6.93%
3 months - 6.22%
1 month - 18.54%
1 week - minus 1.96
Recommendation :
Buy and add to your long term portfolio. The scrip may correct in the short term, and Rs.290 is the support level in case of a correction. Target price of 325 in next 3 months and 400 for 18 months holding in view of the quarter on quarter improvement in financials
Investment Rationale :
Largest chain of coffee shops spread across India. Robust income and margins ever growing consumer base.
Raghav
Equity Research Analyst
Smart Investor
Equity Research
No.24 Pattamal Plaza
3rd Cross Kammanahalli
BANGALORE 560084
www.facebook.com/SmartInvestor3/
www.twitter.com/smartinvestor
Mail - intellinvestor@gmail.com
Whatsapp - 9880080321