Kansai Nerolac Paints (KNPL IN) – Q2FY27 Result Update – Healthy demand outlook across deco & industrial – ACCUMULATE
Published on 05 Nov 2026
KNPL’s focus on decorative innovations, distribution expansion and scaling up the project business remains intact. We expect 8% volume CAGR and ~120bps margin expansion over FY27-29. We estimate sales/EPS CAGR of 6.1%/10.5% over FY27-29. We value the stock at 22x Sep’28 EPS, arriving at a TP of Rs235 (earlier Rs259 at 24x Jun’28 EPS). At 17.4x FY29 EPS, valuations remain inexpensive, given improving demand scenario, thus limiting further downside. Retain Accumulate.
