Shares of Time Technoplast, the multibagger which clocked 325% returns in two years and 1129% returns in five years, have received a buy call from Motilal Oswal.

Initiating coverage on the polymer stock, the brokerage said it expects a CAGR of 15%/16%/23% over FY25-28E, led by strong performance in its value-added product (VAP) segment (20% revenue CAGR, 18%+ EBITDA margin) and strong cash flow generation.

Referring to the polymer industry stock, the brokerage said Right Metrics + Right TIME = Rerating in Sight!

It assigned a price target of Rs 578, a 41% upside against the previous close of Rs 410.40 on BSE. Market cap of the firm rose to Rs 9,962 crore in the current session on BSE. Time Technoplast shares surged 8.68% to Rs 446.05 in early deals today.

Total 2.37 lakh shares changed hands amounting to a turnover of Rs 10.26 crore on BSE.

The stock has fallen 11 per cent in 2025 and is down 10% in six months.

In terms of technicals, the relative strength index (RSI) of Time Technoplast stands at 67.5, signaling it's trading neither in the overbought nor in the oversold zone. The stock is trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages.

The stock has a high beta of 1.8, indicating very high volatility in a year.

"We are optimistic about TIME's value-added composite products (LPG and CNG cascade cylinders), stable and long-standing industrial packaging (drums, jerry cans, IBC etc.) business, and focus on improving financials to turn net debt-free over the next 1-2 years. The firm clocked a CAGR of 16%/19%/39% in revenue/EBITDA/PAT over FY21-25. Asset monetisation, business restructuring, and cost reduction measures will improve operational efficiency and strengthen the balance sheet," said Motilal Oswal.

"Considering its robust prospects and attractive valuation (16x FY27E P/E), we initiate coverage on TIME with a BUY rating and a TP of INR578 (41% upside potential), based on 22x FY27E P/E," it added.