TRENDS
Budget 2023: The devil is in the detail
The fine print reveals the tax implications of some of the budget proposals
BUSINESS
US Fed: Signs of disinflation, but labour market still tight
An improving global outlook means that the growth premium enjoyed by the Indian market will reduce
BUSINESS
Sun Pharma: Specialty remains strong but at a price
The scale-up in clinical trials for specialty products and timeline for the launch of the generic version of Revlimid would be the key monitorable.
BUSINESS
Laurus Labs: Is the worst over?
Material pick-up in earnings for Laurus Labs is contingent on the completion of capex projects
BUSINESS
Apcotex: Is it time to chip in?
Apcotex faces increased competition in India from international peers, as freight costs have dipped significantly, leading to the disappearance of pricing advantage.
BUSINESS
Cipla: Sharp improvement in margins not likely to sustain
While the respiratory portfolio remains a significant part of the US portfolio, the peptides portfolio is a key watch in the near to medium term.
BUSINESS
Another great quarter for Dr Reddy’s, but is it sustainable?
EMs are expected to remain the chief driver of top-line growth, driven by chronic therapies and biosimilars
BUSINESS
Syngene: Timeline for follow-through in Zoetis contract key catalyst to watch
Another growth lever to watch in manufacturing is that of the Mangalore API facility. Here the USFDA approval is expected in H2FY24.
BUSINESS
Atul Industries: Global growth remains a key factor to watch
Macro headwinds in the export markets and a fair valuation keep us on the sidelines.
BUSINESS
Atul: Next few quarters are hard
On a QoQ basis, in Q3 FY23, volumes for most of the chemical companies are anticipated to decline, except for the fluorochemicals and agrochemical companies
BUSINESS
Is there an opportunity to invest in the chemical sector?
Valuations for the sector are, by and large, not expensive but not cheap either. In some cases, it is close to the long-term averages and should be evaluated case by case.
BUSINESS
Suven Pharma: Street worries on lack of clarity on post-merger strategy
The entry of Advent helps to bring in global reach and a platform to provide drug life cycle management services
BUSINESS
Pharma: Is the pandemic investment template about to play out?
The return of the flu season in India and the US, and COVID-19 in China sparked more investor interest in the sector.
BUSINESS
Fed policy: Not a pivot but just a shift in gear -- What is in it for investors?
Valuation should be the touchstone to pick stocks from export-oriented sectors for the long term; for the risk-averse, companies catering to domestic demand could be good picks
BUSINESS
Apcotex: Realisation in taper mode; wait for value to emerge
Ramp-up in the upcoming facilities would be slower than the anticipated 70 percent utilisation in FY24
BUSINESS
KIMS: Why we see more upside
KIMS presents a play on the structural demand trend for healthcare facilities in the hinterland
BUSINESS
NOCIL: What should investors do amid a muted outlook?
NOCIL is looking through the current soft phase and aiming to address the shortfall in capacities, post FY24
BUSINESS
Vijaya Diagnostics: Price stability adds to constructive take
We see Vijaya Diagnostics as a good proxy for regional health-care services consumption play
BUSINESS
Aarti Industries: Post demerger, a pure play on aromatic chemistry
The near-term growth profile is blurred by a potential decline in realisations and the persistence of demand weakness
BUSINESS
IPCA Labs: This tonic can keep investors in good shape
While the margin profile will materially improve in FY24, the phase-out of high-cost inventory and the advantage of backward integration should play out in the coming quarters
BUSINESS
Apollo Hospitals: Core business cruising well, profitability in non-hospital business a key watch
Margin improvement continued in the hospital division in Q2, but Apollo 24/7’s operating cost weighed on EBITDA growth
BUSINESS
Galaxy Surfactants: H2 expected to be weaker than H1FY23
Galaxy Surfactants has improved in the global logistics situation and a drop in raw material prices. In the backdrop of a muted volume growth outlook, we believe investors need to be guarded
BUSINESS
Divi’s Labs: Near-term triggers are missing
Any meaningful gain from new opportunities will only be visible in the next financial year
BUSINESS
Archean Chemical: Company plans to clean balance sheet through IPO
Archean Chemical had a checkered history in terms of debt management and struggled to execute its expansion plan one time. A successful IPO, however, can provide a clean slate this time to foray into bromine derivatives
