At 10:50 AM, Asian Paints' stock was down by 8% at Rs 2,548. The stock has fallen nearly 25% YTD, lagging behind the Nifty 50's 10% gain.
JPMorgan downgraded Asian Paints to 'Underweight,' cutting the target price from Rs 2,800 to Rs 2,400 due to a significant operating miss.
Asian Paints' Q2FY25 PBDIT margin fell to 15.5% from 20.3% a year earlier, hit by past price cuts, higher material costs, and sales expenses.
CEO Amit Syngle attributed margin pressure to price cuts, elevated input prices, and higher sales costs, contributing to the weak results.