Laxmi Dental share lock-in for six-month ends. Stock rallies over 4%
Laxmi Dental shares surged by 5% on Monday, as the six-month lock-in period for specific pre-IPO shareholders concluded today, releasing a substantial portion of equity for possible trading.
Based on an analysis by Nuvama Alternative & Quantitative Research, approximately 2.06 crore shares—or roughly 37% of the firm’s total equity—are set to be eligible for trade after the lock-in period expires. Although these shares can now be sold on the open market, it doesn’t necessarily mean that shareholders will choose to do so, as the ultimate decision rests with them.
According to reports, from the March quarter, the promoters retained a 41.7% ownership in the dental products firm, with the remaining shares distributed among both institutional and retail investors. Mutual funds accounted for 11.89% of the ownership, featuring prominent holders like HSBC MF, HDFC MF, and Invesco MF.
As per reports, the Abu Dhabi Investment Authority (3.18%) and Goldman Sachs (3.5%) are among the notable foreign institutions that held stakes in Laxmi Dental at the conclusion of the March quarter. The company has not yet revealed its shareholding information for the June quarter.
Last week, the brokerage Motilal Oswal began coverage on Laxmi Dental with a “buy” rating and estimated a possible increase of 26% on the stock. Nonetheless, it also predicted a bullish price target of ₹750 per share, suggesting a potential gain of 75% from that price.
Views and Valuations
According to the brokerage, the healthcare services industry is transforming, with business models concentrating on specific therapies and subsequently forming a holistic ecosystem. The personalized service component not only enhances value for patients but also aids companies in establishing a robust competitive edge for long-term growth.
Laxmi Dental has created a thorough framework to fill the gap in dental care, effectively meeting the needs of patients of all ages while improving the efficiency of dental providers. The integration of technology has led to better opportunities in the global market. By leveraging celebrity brand endorsements in its marketing approach, the company has also broadened its offerings within the aligner segment.
“We model a 24% revenue CAGR, 690bp margin expansion, and 62% PAT CAGR over FY25-27 under our base case scenario. We also assign a 43x 12M forward earnings multiple to arrive at our target price of ₹540, implying a potential upside of 24%,” said the brokerage.
Laxmi Dental share price today
Laxmi Dental share price today opened at ₹500 apiece on the BSE, the stock touched an intraday high of ₹503 per share, and an intraday low of ₹478.70 apiece.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
