Buy Ceat Ltd For Target Rs. 3,340 by Motilal Oswal Financial Services Ltd
* Revenue is likely to grow 12% YoY, led by stable traction in replacement demand.
* Expect EBITDA margin to contract 260bp YoY to 10.5%, largely due to an increase in input costs, as the company noted cost pressure of 1-1.2% in previous quarter.
* We cut our FY25E/FY26E consol. EPS by 11%/8% to factor in higher RM costs and increase in interest burden.

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