Campus Activewear (Campus) reported a 12% year‑over‑year increase in revenue, a figure that comes on a weak base and is below the 17% growth the market had anticipated.
Management explained that the actual growth was roughly 4.5% lower than expected due to one‑off factors. These included a change in accounting policy by online platforms effective from July 2025 and a shift to the SoR model for FoFo stores.
Based on these developments, Motilal Oswal reiterates its BUY recommendation for the stock. The research house has revised the target price to ₹310 per share, down from ₹325, using a 40‑times multiple of September 2028 earnings per share.
The updated outlook reflects confidence in Campus Activewear’s long‑term fundamentals while acknowledging the short‑term headwinds that impacted this quarter’s results.