TRENDS
Herd Immunity Part 1: Why the markets are not feeling the pain of the second wave
With markets making a wild swing from despondency to euphoria last year, investors do not want to miss a recovery rally this time around and are exercising patience in the hope of a better second half
BUSINESS
Atul: Proxy for global recovery
We believe that even if the domestic equity market underperforms global indices, the Indian chemicals sector should be resilient in the near- to medium-term. Atul is one of the preferred proxies to play this theme
BUSINESS
Laurus Labs: Diversification to speed up in FY23; add on declines
There is a perceptible change in the Laurus Labs' management commentary in the last 18 months that points to growth sustenance for the medium term
BUSINESS
Reliance Industries Q4FY21: Strong contribution from digital businesses likely to offset probable weakness in cyclical sectors
RIL reported a strong sequential improvement for its Oil derivative and retail segments. Petrochemicals exhibited elevated product spreads and in the case of retail, the trend of sequential recovery continued across consumption baskets. Jio continued to report strong numbers despite lower ARPU
BUSINESS
Syngene: Heavy investment phase makes it a long-term play
Beyond contract research, another trend to watch for Syngene is the pick-up in contract manufacturing business in biologics and APIs
TRENDS
Fed: The US economy has just got vaccinated
Even though the next few months of payroll data are expected to be exceptionally good, the Fed will give due credence to the weak macroeconomic situation elsewhere in the world before hinting at a rate hike cycle
BUSINESS
A play on likely outperformance of agro-chemical sector in near term
Rallis' focus on the contract manufacturing business and filling portfolio gaps are a key watch
TRENDS
What is the endgame for the second wave? How should investors position themselves? Part-2
Given improved demand scenario in developed markets and ebbing of health crises elsewhere, India’s export oriented sectors – IT, pharma and chemicals – are expected to outperform in the short to medium run
BUSINESS
What is the endgame for the second wave? How should investors position themselves? Part-1
Countries having high coverage of COVID jabs have seen a sharp decline in death rates as the vaccination coverage picked up
BUSINESS
Phillips Carbon: Second wave slams brakes on recovery theme
The second wave of COVID is likely to have an impact on domestic demand for discretionary players in auto and consumer durables. Phillips Carbon is one such name
TRENDS
Bhansali Engineering Q4: Margins likely to moderate in near term; valuation fair
The drivers to watch Bhansali Engineering are a pick-up in the end-market demand and a traction in greenfield capex plan
BUSINESS
Deregulation of vaccine rollout: What it means for pharma players
Dr Reddy’s, Gland Pharma, Strides, Cadila, Aurobindo are some of the names that merit a close watch as operating leverage plays out
TRENDS
Solara Active: Aurore deal to act as a booster for CRAMS; accumulate
The Aurore deal should help Solara in ramping up CRAMS portfolio, diversifying the API product basket and also aiding backward integration
TRENDS
What ‘second wave’ means for investors in Indian pharma
Multi-year opportunity awaits Indian vaccine manufacturers such as DRL, Gland Pharma, Aurobindo Pharma and Cadila Pharma
BUSINESS
CDMO leader ready to straddle entire pharma value chain
Except phosgenation and fluorination, Suven Pharma is capable of handling every other chemistry. This adds to the scope for contract engagements in speciality chemicals and clinical development for pharma
BUSINESS
Laxmi Organic: Investment horizon should match business transformation time span
Laxmi Organic is certainly on a transformation mode, and, hence, investors need to be patient enough to witness the change in business mix.
MONEYCONTROL-RESEARCH
Anupam Rasayan IPO: Has it lost the case with weak listing?
Anupam though 1/10th the size of PI Industries, appears to be its good proxy in the field of custom synthesis of agro-chemicals. One of the things which strikes us is the growing export exposure to the lucrative Japanese market.
BUSINESS
Bodal Chemicals: On transformation from a dyes major to a diversified play
Business case for the new capex and acquisition of Bodal Chemicals appears promising, given the import substitution play and higher applications of benzene-based chemicals
BUSINESS
Laxmi Organic IPO: A leader in basic chemicals, doubling down on speciality
Re-rating driver for Laxmi Organic depends on success in fluorospeciality, which is likely to be margin-accretive
BUSINESS
Anupam Rasayan IPO: A tiny version of PI Industries, diversifying beyond agro-chem
One eye catcher is the growing export exposure for Anupam Rasayan to the lucrative Japanese market
BUSINESS
Heranba, a short-term pop or long-term compounder?
Post listing gains, should we look beyond Heranba in agro-chem?
BUSINESS
Atul and Amal: When basic chemicals get special
Basic chemical player Amal warrants investors’ attention just as APIs in the pharma space are getting policy attention
BUSINESS
Rain Industries: Time to reap 'end of capex cycle'
Though the Rain stock has firmed up since our last note by 22 per cent, we remain constructive as the valuations are still reasonable
BUSINESS
NSE Trading Halt: Outage calls for regulatory action to restore retail investor confidence
Retail equity participants are most vulnerable to the harmful effects of technical failures in the financial market
