As lockdown dents Q1 show, Page Industries needs faster growth at the core

The company underperformed peers in the June quarter

The June quarter numbers of Page Industries did not meet the Street’s expectations, leading to a 4 per cent fall in its stock price on Friday. Also, the company is underperforming peers on the growth front.

These, coupled with growth concerns in its core portfolio of men’s innerwear, are some of the worries weighing on the stock of the largest listed innerwear maker.

These worries have led to a 5-17 per cent cut in earnings estimates over the next couple of years. Further, the valuation — over 61 times its FY23 earnings per share estimate — is on the expensive side. Thus,