Asian Paints is the largest paint company based in India and Asia, and the second largest paint company in the world, with a turnover of ₹34,489 Crore in the financial year 2023 and a market cap of ₹3,01,00 Crore. It was founded in 1942 and had its headquarters in Mumbai, Maharashtra. Asian Paints manufactures a wide range of paints for decorative and industrial use. Its products include interior and exterior wall paints, wood coatings, varnishes, enamels, distempers, and other products. It also offers a range of services such as color consultancy, painting services, and design solutions.
Asian Paints Stock History
Asian Paints has been listed on the Bombay Stock Exchange (BSE) since 1994.
As of November 26, 2023, Asian Paints is trading at around ₹3,130 per share.
The stock has been a consistent performer, with a CAGR (Compound Annual Sales Growth Rate) of over 15% over the last five years and compounded profit growth of 15% (last 5 years).
Asian Paints has been buoyed by strong financial performance, with consistent growth in revenues and profits. The company has also been focusing on increasing its presence in international markets and has been expanding its product portfolio.
Asian Paints Q2 2023-24 Results Highlights
- Asian Paints reported a consolidated net profit of Rs 1,232.39 crore for Q2 FY 2023-24, marking a 53.31% YoY increase.
- However, the company’s profit for the quarter decreased sequentially by 21.74%.
- Consolidated revenue for Q2 was Rs 8,478.57 crore, reflecting a slight YoY increase of 0.03%.
- The revenue for the quarter was down 7.66% compared to the preceding quarter and missed market estimates.
- The Domestic Decorative Paint business showed flat value sales with a 6% volume growth, potentially impacted by an erratic monsoon and a later Diwali.
- EBITDA for the quarter was Rs 1,717 crore, with an EBITDA margin of 20.2%, showing an improvement from the previous year.
- The company declared an interim dividend of Rs. 5.15 per equity share with a face value of Re. 1 for the fiscal year ending on March 31, 2024.
- International business sales declined by 3.9% in Q2, primarily due to challenges in South Asia and Egypt.
- Asian Paints’ shares dropped by 2.25% on the National Stock Exchange in response to the revenue disappointment in Q2.
How to buy Asian Paints Stock in India?
You can buy Asian Paints stock in India through any of the leading stockbrokers. To open an account with a broker, you will need to provide your personal details and KYC documents. Once your account is opened and funded, you can place a buy order for Asian Paints stock on the broker’s trading platform. The order will be executed at the best available price and you will receive the stocks in your Demat account. Some of the online platforms selling Asian Paints shares are Zerodha, 5paisa, Upstox, and ICICI Direct.
However, my personal recommendation would be PayTM Money.
Asian Paints Price Prediction 2023-2030
Asian Paints price target 2023
|When||Maximum Price||Minimum Price|
In November 2023, Asian Paints is expected to see a price range between ₹2,897.06 at its lowest and ₹3,186.76 at its highest. This signifies potential fluctuations in the company’s stock value within that month.
As we move into December 2023, the price target for Asian Paints shows a slightly more optimistic outlook, with a range of ₹2,992.66 as the minimum and ₹3,291.93 as the maximum. These price targets provide investors and analysts with a glimpse of the expected price movements for Asian Paints, indicating the potential for both gains and losses in the closing months of the year.
|When||Maximum Price||Minimum Price|
In 2024, Asian Paints is expected to demonstrate a potentially robust performance as per the projected price targets. In January, the stock is expected to trade within a range of ₹2,920.97 to ₹3,359.11. This price range gradually expands throughout the year, indicating an overall positive outlook.
By December 2024, the anticipated price range is between ₹3,340.36 and ₹3,841.42. These projections suggest a steady upward trend in the share price, reflecting growing confidence in the company’s performance. However, it’s important to note that these are estimates and actual market conditions can be influenced by various factors, so investors should exercise caution and conduct thorough research.
Asian Paints price target 2025
|When||Maximum Price||Minimum Price|
According to our price estimate, Asian Paint’s share price target for 2025 is as high as₹4,683.22 per share by 2025. The minimum predicted price for 2025 is ₹3,014.03.
Asian Paints price target 2026 to 2030
|Year||Maximum Price||Minimum Price|
After closing at a dazzling mark of ₹4,683.22 in 2025, the share prices will fall for two consecutive years and may reach the mark of ₹7,572.77 in 2028. But the prices will again see a tremendous jump in the next two years and may reach ₹6,556.51 by the end of 2029 and finally, it will end the decade with a price of ₹8,523.47.
Asian Paints’ Financial Condition: Last 5 years
|Mar 2019||Mar 2020||Mar 2021||Mar 2022||Mar 2023|
|Profit before tax
|EPS (in Rs)||22.48||28.20||32.73||31.59||42.81|
|Dividend Payout %||47%||43%||55%||61%||60%|
HSBC recommends buying Asian Paints stock and has set a price target of Rs 4,000.
Nuvama has reaffirmed its buy recommendation for the stock with a target of 3,505.
Motilal Oswal has restated its ‘Neutral’ rating for the stock and set a target price of Rs 3,100.
Also, read share price targets of other paint companies:
- Berger Paints Share Price Target
- Indigo Paints Share Price Target
- SHALIMAR PAINTS SHARE PRICE TARGET
In the last 1 year, Asian paints’ share price has fallen by a negative 0.67%.
If you bought the top, your portfolio may not have grown. Not just that, in the last 2 years, the share has fallen multiple times from the range of Rs. 280000 to Rs. 3600. The share price is definitely not growing and looks to be capitulating.
If you are one who bought the top of Asian Paints share price during this period, you must be thinking: Is Asian Paints a good stock to buy and hold or should you exit from the company?
In order to understand that, let us have a look at the sales, and profits YOY. Is there anything wrong with the numbers?
The sales have been growing YOY. The profits are growing YOY, and that too at an impressive rate. Personally, I could not find anything wrong with the company.
At times, operators do play with the chart and test your patience.
To make a big up-move, Asian paints may play in the same region for quite some time now, but if you are a long-term holder, I do not see anything that could worry investors, at this point.
Asian Paints Updates
What is the market cap of Asian Paints?
As of November 26, 2023, the market cap of Asian Paints is ₹ 3,01,000 Cr.
Asian Paints is expected to continue its strong performance in the coming years. The paints company has a strong presence in the Indian market and is expanding its presence in international markets. It is also focusing on increasing its product portfolio, expanding its distribution network, and improving its logistics operations.
Looking at these factors, Asian Paints’ share price target for 2025 is approximately ₹3,848.625. The maximum and minimum share price target is ₹4,683.22 and ₹3,014.03 respectively.
Can Asian Paints Reach 10,000 INR?
It‘s feasible that Asian Paints could reach a price of 10,000 INR in the year 2029. The company is zeroing in on expanding its presence in overseas markets and enhancing its product selection, which could give it a lift in the future.
Asian paints is expected to trade in between ₹8,523.47 and ₹5,966.43, by 2030.
Conclusion: Should you buy Asian Paints in 2023?
Asian Paints is the largest and most successful paint company in India and the whole of Asia. The company has performed consistently in the past, with a CAGR of 15% over the last five years. It is focusing on expanding its presence in the international markets and improving its product portfolio, which could help it reach its target price of 10,000 INR in the future. For anyone who wants to invest in the paints sector, Asian paints should be included in one’s long-term portfolio. The best entry price would be between Rs. 2800 to Rs.3000. In my opinion, the launch of Grasim Paints in Q4 FY2024 is not likely to be an immediate significant threat to Asian Paints, but it could become a more considerable challenge in the long term. We will have to wait and see. For now, I think Asian Paints is a great buy.
Disclaimer: We hold Asian paint shares in our portfolio at the time of writing this article, and this is not financial advice. Please consult your financial advisor before investing in Asian paints or any other stocks.
What did we learn?
- 1 Asian Paints Stock History
- 2 Asian Paints Q2 2023-24 Results Highlights
- 3 How to buy Asian Paints Stock in India?
- 4 Asian Paints Price Prediction 2023-2030
- 5 Asian Paints’ Financial Condition: Last 5 years
- 6 Asian Paints Share Price Target by Experts
- 7 Asian Paints Share Price is Not Growing- Should You be Worried?
- 8 Asian Paints Updates
- 9 FAQs
- 10 Conclusion: Should you buy Asian Paints in 2023?