Kajaria Ceramics has been given a "Buy" rating by Sharekhan, with a revised price target of Rs 1,600. The company's consolidated revenue has remained strong, supported by consistent growth in tile volume. However, the Bathware unit has had a negative impact on overall operating profit margins (OPM).

The management has slightly adjusted its forecast for tile volume growth to 9-10% year-on-year and expects to achieve the lower end of its OPM guidance of 15-17% for FY2025. Despite these adjustments, Kajaria Ceramics maintains its three-year growth outlook, aiming for consolidated revenue of Rs 6,500 crore by FY2027, with an OPM target of 15-17%. Investors are advised to consider the stock, as the company is expected to have a strong earnings growth trajectory over the next three years.