Honasa share price target: Mamaearth parent company's target price cut? Check brokerage call

Honasa share price target: Honasa Consumer reported a consolidated net profit of Rs 40 crore for the quarter ended on June 30, 2024, marking a 63% year-on-year increase from Rs 24 crore in the same quarter previous year. Meanwhile, Brokerage house Jefferies has slashed the target price for Mamaearth's parent company.

Honasa share price target: Brokerage house Jefferies has maintained a BUY rating on Mamaearth's parent, Honasa Consumer Limited, but has reduced the target price from Rs 590 per share to Rs 545 per share.

As per Jefferies, Honasa's Q1 performance although exceeded forecasts, revenue growth missed expectations due to high competition and impending inventory corrections.

The company’s medium-term guidance includes 20% revenue growth and 150bps margin expansion. As per Jefferies, volatility will likely persist, given Honasa's early stage of evolution.