Safari Industries India Ltd. stands at the forefront of the luggage and luggage accessories industry, specializing in the manufacturing and trading of diverse luggage solutions. With a keen focus on quality and innovation, Safari offers a wide range of products catering to both domestic and international markets. The luggage market, encompassing hard and soft luggage categories, plays a pivotal role in facilitating travel and mobility worldwide. Safari’s in-house manufacturing of hard luggage using materials like PolyPropylene (PP) and Polycarbonate (PC) underscores its commitment to product excellence and self-reliance.
Additionally, the importation of soft luggage reflects the company’s adaptability to global sourcing dynamics. As an integral player in this industry, Safari not only shapes consumer experiences but also contributes significantly to economic growth and globalization. Through strategic insights and operational excellence, Safari aims to navigate the complexities of the market landscape and achieve ambitious milestones, potentially including a price target of 10k.
About Safari
Safari Industries is a prominent player in the luggage and luggage accessories sector, offering a diverse range of products. The company specializes in both hard and soft luggage categories, catering to various consumer needs. Safari manufactures hard luggage, primarily using PolyPropylene (PP) and Polycarbonate (PC), at its state-of-the-art plant in Halol, Gujarat. Soft luggage, crafted from a variety of fabrics, is imported to complement the product portfolio.
With brands like Safari, Magnum, Genius, and Genie, the company has built a strong presence in the market. Safari’s revenue streams are divided between hard luggage (54%) and soft luggage (46%), reflecting its comprehensive product offerings.
The company adopts a multi-channel sales approach, leveraging standalone stores, B2B, B2C, and e-commerce platforms like Amazon and Flipkart. With a focus on expansion, Safari has augmented its manufacturing capabilities and introduced new brands like Urban Jungle to tap into emerging market segments. Through strategic initiatives and innovative solutions, Safari continues to uphold its position as a leading provider of quality luggage products.
Recent News Around Safari
- Safari Industries secured a substantial investment of ₹229 crore from Lighthouse Funds, reflecting investor confidence and providing a financial boost for future growth initiatives.
- The company appointed a new Vice President of Quality and Customer Relationship Management, signaling its commitment to enhancing product quality and strengthening customer relationships.
- In a recent broker’s call, Safari Industries received a “Buy” recommendation, indicating positive market sentiment and potential for growth in the company’s stock.
Safari Q3 Fy2024 Key Points And Summary:
- Total income surged to ₹388.30 crore, marking a substantial increase of 28.12% compared to the same period last year.
- Operating profit witnessed notable growth, reaching ₹55.29 crore, representing a significant increase of 21.31%.
- Profit after tax showed robust performance, standing at ₹42.92 crore, reflecting commendable growth of 24.51%.
- Despite a slight decline in operating margin to 14.24%, the company maintained a strong performance trajectory.
- Quarterly comparison revealed positive trends, with total revenue growing by 4.94% compared to the previous quarter.
- Operating income increased by 7.95% from the previous quarter, reaching ₹55.29 crore.
Safari Share Price Target 2024 To 2030
Safari Share Price Target 2024
| Month | Maximum Price (₹) | Minimum Price (₹) |
|---|---|---|
| May 2024 | ₹2,262.40 | ₹1,967.31 |
| June 2024 | ₹2,343.85 | ₹2,038.13 |
| July 2024 | ₹2,320.41 | ₹2,017.75 |
| August 2024 | ₹2,413.23 | ₹2,098.46 |
| September 2024 | ₹2,509.75 | ₹2,182.40 |
| October 2024 | ₹2,460.54 | ₹2,139.60 |
| November 2024 | ₹2,534.36 | ₹2,203.79 |
| December 2024 | ₹2,597.72 | ₹2,258.89 |
In 2024, Safari’s share prices are expected to witness a steady rise based on the provided data. The maximum price is projected to escalate gradually from ₹2,262.40 in May to ₹2,597.72 in December. Conversely, the minimum price is also anticipated to experience an upward trend, starting from ₹1,967.31 in May and reaching ₹2,258.89 by December. This indicates a positive trajectory for Safari’s shares throughout 2024. Investors can expect the prices to continue their ascent, with fluctuations likely but the overall trend suggesting growth.
Safari Share Price Target 2025
| when | Maximum Price | Minimum Price |
| January 2025 | ₹2,649.67 | ₹2,038.21 |
| February 2025 | ₹2,717.61 | ₹2,090.47 |
| March 2025 | ₹2,823.60 | ₹2,172.00 |
| April 2025 | ₹2,768.24 | ₹2,129.41 |
| May 2025 | ₹2,687.61 | ₹2,067.39 |
| June 2025 | ₹2,808.55 | ₹2,160.42 |
| July 2025 | ₹2,753.48 | ₹2,118.06 |
| August 2025 | ₹2,838.64 | ₹2,183.57 |
| September 2025 | ₹2,937.99 | ₹2,259.99 |
| October 2025 | ₹3,014.38 | ₹2,318.75 |
| November 2025 | ₹3,089.74 | ₹2,376.72 |
In 2025, Safari’s share prices are expected to continue their upward trajectory, with both maximum and minimum prices projected to increase steadily. The maximum price is forecasted to rise from ₹2,649.67 in January to ₹3,089.74 in November. Similarly, the minimum price is anticipated to follow a similar trend, starting at ₹2,038.21 in January and reaching ₹2,376.72 by November. This indicates a positive outlook for Safari’s shares in 2025, with expected growth throughout the year. Investors can anticipate the prices to maintain an upward momentum, with fluctuations expected but the overall trend suggesting an increase
Safari Share Price Target 2026 To 2030
| Year | Maximum Price (₹) | Minimum Price (₹) |
|---|---|---|
| 2026 | ₹3,325.33 | ₹2,327.73 |
| 2027 | ₹3,657.86 | ₹2,560.51 |
| 2028 | ₹5,121.01 | ₹2,560.51 |
| 2029 | ₹4,433.78 | ₹2,216.89 |
| 2030 | ₹5,763.91 | ₹4,034.74 |
Between 2026 and 2030, Safari’s share prices are anticipated to demonstrate a robust growth trajectory. The maximum price is expected to surge from ₹3,325.33 in 2026 to ₹5,763.91 in 2030, reflecting significant appreciation over the period. Similarly, the minimum price is projected to witness substantial growth, increasing from ₹2,327.73 in 2026 to ₹4,034.74 in 2030. This suggests a bullish outlook for Safari’s shares, with both maximum and minimum prices expected to rise steadily over the next five years.
Safari ‘s Financial Condition (Last 5 Years)
| Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | TTM | |
| Sales + | 578 | 686 | 328 | 705 | 1,212 | 1,488 |
| Expenses + | 525 | 614 | 334 | 649 | 1,015 | 1,219 |
| Operating Profit | 53 | 72 | -6 | 56 | 197 | 269 |
| OPM % | 9% | 11% | -2% | 8% | 16% | 18% |
| Other Income + | 1 | 1 | 3 | -2 | 9 | 11 |
| Interest | 4 | 10 | 6 | 5 | 8 | 9 |
| Depreciation | 8 | 22 | 20 | 20 | 33 | 47 |
| Profit before tax | 41 | 40 | -29 | 29 | 165 | 224 |
| Tax % | 34% | 24% | 28% | 23% | 24% | |
| Net Profit + | 27 | 31 | -21 | 22 | 125 | 171 |
| EPS in Rs | 6 | 7 | -5 | 5 | 26 | 36 |
| Dividend Payout % | 4% | 0% | 0% | 8% | 7% |
Safari’s financial performance over the last five years reflects a mix of challenges and growth opportunities. From March 2019 to March 2020, the company experienced a notable increase in sales from ₹578 crore to ₹686 crore, accompanied by a rise in operating profit from ₹53 crore to ₹72 crore. However, the profitability took a hit in March 2021, with a decline in sales to ₹328 crore and an operating loss of ₹6 crore, attributed to increased expenses.
Despite this setback, Safari managed to rebound strongly in subsequent years, recording impressive sales growth to ₹1,212 crore in March 2023 and further to ₹1,488 crore in the trailing twelve months. This upward trend in sales was complemented by a significant improvement in operating profit margins, which rose from 9% in March 2019 to 18% in the trailing twelve months, reflecting enhanced operational efficiency.
Moreover, Safari demonstrated resilience by consistently generating positive net profits, despite the challenges faced in March 2021. The company’s net profit surged from ₹27 crore in March 2019 to ₹171 crore in the trailing twelve months, underscoring its ability to adapt to changing market conditions and capitalize on growth opportunities. Additionally, Safari maintained a stable dividend payout ratio, reflecting its commitment to rewarding shareholders while ensuring sustainable growth. Overall, Safari’s financial performance underscores its ability to navigate challenges and capitalize on opportunities, positioning it for continued growth and profitability in the future.
FAQS
- What is the current market capitalization of Safari Industries (India) Ltd?
- The current market capitalization of Safari Industries (India) Ltd is ₹10,122 crore.
- What is the current price per share of Safari Industries (India) Ltd?
- The current price per share of Safari Industries (India) Ltd is ₹2,076.
- What is the 52-week high and low for Safari Industries (India) Ltd?
- The 52-week high for Safari Industries (India) Ltd is ₹2,315, and the 52-week low is ₹1,183.
- What is the price-to-earnings (P/E) ratio of Safari Industries (India) Ltd?
- The price-to-earnings (P/E) ratio of Safari Industries (India) Ltd is 59.3.
- What is the book value per share of Safari Industries (India) Ltd?
- The book value per share of Safari Industries (India) Ltd is ₹108.
- What is the dividend yield of Safari Industries (India) Ltd?
- The dividend yield of Safari Industries (India) Ltd is 0.08%.
- What are the return on capital employed (ROCE) and return on equity (ROE) of Safari Industries (India) Ltd?
- The return on capital employed (ROCE) of Safari Industries (India) Ltd is 37.5%, and the return on equity (ROE) is 34.4%.
Should one invest in Safari ?
Investing in Safari Industries (India) Ltd entails a comprehensive assessment of various factors to make an informed decision. As of the latest data available, Safari boasts a substantial market capitalization of ₹10,122 crore, with its current stock price standing at ₹2,076. Over the past year, the stock has exhibited a trading range between ₹1,183 to ₹2,315. Safari’s price-to-earnings (P/E) ratio sits at 59.3, signifying a relatively high valuation concerning earnings. However, it offers a book value per share of ₹108 and a dividend yield of 0.08%, indicating potential value for income-seeking investors.
From a financial standpoint, Safari has showcased robust growth, evidenced by a compounded profit growth rate of 42% over the past five years and an impressive return on equity (ROE) of 34.4%. Moreover, the company has demonstrated efficiency in its operations, as reflected in improving metrics such as debtor days and working capital requirements. These indicators suggest effective management of resources and operational effectiveness.
A closer examination of Safari’s quarterly performance reveals consistent positive trends in sales and operating profit, accompanied by an upward trajectory in operating profit margins (OPM) over time. However, it’s essential to acknowledge occasional dips in profitability, which could be attributed to factors like increased expenses or market dynamics.
Regarding ownership structure, Safari has experienced a slight decrease in promoter holding over the last quarter, which may raise concerns about insider confidence. Additionally, the stock trades at a significant premium to its book value, potentially deterring value-oriented investors.
In conclusion, Safari Industries (India) Ltd presents itself as a promising investment opportunity, given its strong growth trajectory and operational efficiency. However, investors must weigh the high valuation and declining promoter holding against the company’s growth prospects and industry position. Conducting thorough research, assessing risk tolerance, and considering personal investment objectives are crucial steps in determining whether Safari aligns with one’s investment strategy.
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