BUSINESS
Equity strategy — How will the market react to state election results?
Improved political stability is a positive factor indeed, but elevated valuations mean they will seek support in earnings momentum even though global volatility lurks in the background
BUSINESS
PCBL: Do the unrelated M&As dampen the investment argument?
The company’s strategy to “future-proof” product profile is sensible but execution is key to the success of this endeavour
BUSINESS
Why are the US Fed and Street having divergent views?
It is prudent for investors to bet on the resilient domestic earnings story
BUSINESS
Concord Biotech: Operating leverage in play; accumulate for the long haul
This leading fermentation play on APIs is a worthy watch, given the scope for a ramp-up in new facilities, foray into injectables and a strong balance sheet.
BUSINESS
Are equities factoring in soft landing? What can go wrong?
Central banks are trying to bring inflation further down and a soft-landing doesn’t look certain as yet
BUSINESS
Galaxy Surfactants: signs of broad-based volume growth
The company exudes confidence on the back of its execution record and its defensive business profile, unlike peers in the chemical industry.
BUSINESS
Ami Organics: Fermion contract raises FY25 earnings visibility
Capex in Ankleshwar, pick-up in supplies for Fermion and a foray into the electro-lyte additive business are the other factors prompting the company to expect a bounce-back in growth in FY25.
BUSINESS
Does Aarti’s result suggest a turnaround for the chemical sector?
While the Indian chemicals industry remains a multi-decade opportunity and Aarti Industries is among the front runners, it faces many challenges in the short run.
BUSINESS
Zydus Lifesciences: Why we are getting constructive
There is a steady progress in product approvals and clinical trials for Zydus' niche products meant for rare ailments
BUSINESS
Divi’s Lab: FY25 to witness sizeable improvement in performance
The company is enthusiastic about the opportunities in contrast media and peptide building blocks, which shall unfold in 2-5 years
BUSINESS
Sun Pharma: Premium valuation caps upside
Progress in the Specialty pipeline will be a key watch as the company has stepped up R&D investments
BUSINESS
What should investors do after Fed's latest policy call?
The elevated yield curve has definitely tightened financial conditions, its persistence is difficult to gauge. However, the longer the yields remain at current levels, the more adverse will be the case for equities
BUSINESS
Navin Fluorine: Marred by delays, but still not off the radar
Other than supply-side factors, global demand is not encouraging and thus dims near-term prospects.
BUSINESS
Dr Reddy’s – Inorganic initiatives in India are a key watch
Steady quarterly results backed by traction in advanced economies
BUSINESS
SRF: Global demand fragile, value emerging
While the company faces a cyclical slowdown, it appears to be doing better than peers and the capex intensity remains focused on long-term opportunities.
BUSINESS
Cipla Q2FY24: Uncertainty on M&A can keep the upside capped
The stock would move out of the consolidation phase when it is clear who will acquire the company. Depending on the suitor, there is a huge potential for restructuring.
BUSINESS
Syngene: Stock correction serves as an opportunity to move in
The key macro headwind is the slowdown in funding in the US biotech end-market. However, in the medium term, complex APIs and biologics manufacturing would be the leading growth drivers
BUSINESS
Laurus Labs: Margins appear to have bottomed out
What holds promise for the company is the success in novel technologies related to gene and cell therapy and precision fermentation.
BUSINESS
Apcotex: Gradual accumulation is the way to go
In the near to medium term, we expect volume-led growth to continue, particularly in the end-markets of construction and carpet. The management quality and execution profile of the company add to the positives.
BUSINESS
Concord Biotech: This niche API play rides on China-plus theme
The company has a good repute in the fermentation-based API segment. A number of fermentation-based biologic drugs are expected to lose exclusivity in the next two years, and this opens a $60 billion opportunity.
BUSINESS
Balaji Amines: Should one chip in when headwinds remain strong?
Though valuation appears attractive, given the medium- to long-term growth opportunity, we suggest investors to build up positions gradually.
BUSINESS
Fed policy review: What does the hawkish pause imply for equities?
For the Indian market, the risk-reward in terms of investment style is tilted in favour of large caps
BUSINESS
Who makes a better suitor for Cipla and what is in it for shareholders?
Torrent Pharma and Dr Reddy’s are among the bidders. The combined India business can surpass Sun Pharma’s from any of these two deals. Investors in both Dr Reddy’s and Cipla should wait for clarity to emerge
BUSINESS
What keeps us constructive on this carbon black manufacturer?
The company is benefitting from supportive geopolitics and domestic demand
