Multibagger liquor stock seen at Rs 1,600 in a year, here are the triggers

Globus Spirits shares are likely to hit a price target of Rs 1,600 in a year, says Dolat Capital. The brokerage initiated coverage on the multibagger stock with a buy call. Globus Spirits stock gained 0.77% to Rs 1073.20 on Thursday against the previous close of Rs 1064.95 on BSE. Market cap of the firm stood at Rs 3,108 crore. Total 6176 shares of the firm changed hands amounting to a turnover of Rs 67.16 lakh. In a year, the stock gained 25% and risen 22% in the beginning of the year. The stock has zoomed 6525 in five years and climbed 1545% in ten years.

The buy rating and bullish stance is based on FY27E multiples. The company is a significant player in ENA/Ethanol manufacturing and Country Liquor (IMIL) segments. Over the past three years, Globus Spirits has strengthened its position as a leading branded IMFL AlcoBev player. After experiencing a decline in earnings from FY22 to FY25 due to rising raw material costs, the company expects these challenges to diminish by FY25-27E., said the brokerage. 

This strategic positioning is projected to drive robust growth across its manufacturing, IMIL, and IMFL segments, with an impressive 37% EBITDA and 101% EPS CAGR anticipated over FY25-28E. The IMFL business is seen as a potential 5-7 year growth story, possibly leading to multiple re-ratings if executed well. Currently, the stock is trading at 28/18x FY26/27E EPS, thus offering a favourable opportunity for investors, it added. 

It reported a stellar set of earnings in the March 2025 quarter. 

Globus Spirits reported a ninefold sequential rise in profitability, with net profit rising to Rs 6.3 crore in Q4FY25 against Rs 0.7 crore in the previous quarter.

The alcohol major’s revenue climbed 8.8% quarter-on-quarter (QoQ), at Rs 654.5 crore against Rs 601.5 crore, driven by strong demand and operational efficiencies.

EBITDA rose 14% QoQ to Rs 39.2 crore against Rs 34.4 crore, displaying better cost management and improved performance. The EBITDA margin rose to 6%, up from 5.7% in Q3FY25.