INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Job creation and demand for housing are closely linked to economic growth
And for India, which is headed for an 11-year low GDP growth of 5 per cent in FY20, neither a sharp recovery in jobs nor a housing sector
rebound is in sight.
This may not be good news for the stock of this online classified company, which delivered a solid 58 per cent return
remain positive on Info Edge as the core businesses have shown resilience even in a tough business environment
which has a target of Rs 2,600 on the stock.
ICICIdirect has a price target of Rs 2,630 for the stock, Motilal Oswal Securities Rs 2,210 and
Kotak Institutional Equities Rs 2,130.
On Wednesday, the scrip traded at Rs 2,532, down 0.54 per cent.
The scrip has surged 58 per cent in
last one year against a 13 per cent rise in the Sensex, making it the third best performer in the BSE100 pack after Bajaj Finance and HDFC
if companies have built up a lot of capacity
We are still not expecting companies to lay off people
But things are slow on the jobs front for sure
In real estate, things have been slow for last 7-8 years
It is just that we were growing because revenue was moving from offline media to online
education classifieds via Shiksha
Oberoi said even if the economic slowdown stays for one or two quarters, it is not going to impact its business much
But over time, it has spread to other sectors like banking and financial services, insurance and other services
Lately, we have also picked up some signs of distress in the startup space
Some storm clouds are gathering on the horizon
things have been slowing down over the past few quarters
Oberoi said it might take another year before things settle down in the real estate space
We expect a 16.7 per cent billing growth in the recruitment business for FY19-22E (vs 19.7 per cent growth in FY19) and margins in the
moderate from 31.6 per cent in FY19 to 20 per cent for the period FY19-22E, even as margins may inch upwards to 18 per cent by FY22.
For
December quarter, the company is expected to report 15-17 per cent YoY growth in sales.