Bernstein Bullish on Info Edge, Raises Price Target

Info Edge has reported steady growth for the first quarter of fiscal year 2025, primarily driven by its recruitment segment. Naukri’s billings increased by 9% year-on-year, supported by a rise in hiring within the GCC and consulting sectors.

The real estate division, 99 Acres, also showed strong performance, with revenue up by 19.5% compared to the previous year.

Bernstein has raised its price target to 7,940 Indian rupees, indicating a potential upside of 10%. The brokerage links this adjustment to the recovery in IT hiring, which is anticipated to enhance Naukri’s performance.

Furthermore, the stabilization of the housing market is expected to provide an advantage to 99 Acres.

Analysts believe, “We anticipate continued improvement in recruitment billings and a higher value of investments (such as Zomato and Policybazaar) will be key drivers for stock performance.”

Although adjustments have been made to startup investment valuations, the recovery in IT billings and the robust performance of other segments remain crucial catalysts for the stock.

Bernstein’s optimistic outlook on Info Edge is supported by the expectation of sustained growth in the recruitment business, stabilization in the real estate market, and the overall strength of the company’s investment portfolio.