Amid economic slowdown, volume recovery key for pricey Page Industries

Due to lack of near-term growth visibility and post a weak Q3, analysts have slashed their FY21 earnings estimates by 10-16 per cent

The Page Industries (Page) stock has lost 16 per cent in a month, compared to a 3-4 per cent decline in the Nifty FMCG and the Sensex during the same period. 

Concerns over volume recovery, after a feeble December quarter (Q3), has seen analysts cut their FY21 earnings estimates by 10-16 per cent. 

Sentiment has been turning weak for the stock, which once used to command rich valuations due to its strong growth track record.

According to analysts at ICICI Securities, while the near-term pressure is likely to continue, a sustainable improvement in the volume trajectory remains a key monitorable. Volume