Reviews

DELTA CORP LTD.

Ticker : 532848
FV: Rs. 1
52-Week H/L: Rs. 282.10/155.50



We had recommended Delta Corp in volume no. 35, issue no. 10 (dated Dec 31, 2018), when the scrip was trading at Rs. 243.70. Delta Corp operates in gaming (casino operator) and entertainment sector, where only few organised players operate. Our recommendation was backed by factors such as likelihood of strong performance of stocks and increase in consumer base. In Q4FY19, the company posted strong performance with revenue growth of 11.33 per cent YoY and profit by 85.54 per cent YoY. Delta Corp is believed to be a financially robust company with considerable amount of liquidity. The operating activities are expected to fetch an earnings growth of 21 per cent. This tells us that, along with effective cost reduction activity, the topline operations are also responsible for fetching earnings. The company has also announced that it will have a unique ‘Responsible Gaming’ feature for the website and an app of Adda52, owned by Delta Corp. Considering all these factors, we recommend a HOLD.