Moneycontrol PRO

Anubhav Sahu

Principal Analyst

Moneycontrol Research

PI Industries: Custom synthesis giant waiting for another orbit

BUSINESS

PI Industries: Custom synthesis giant waiting for another orbit

We like the PI Industries' focus on custom synthesis and manufacturing which has helped it become a “partner of choice” for global agrochemical majors

Laurus Labs: Diversification 2.0 is unfolding

BUSINESS

Laurus Labs: Diversification 2.0 is unfolding

Laurus lab's earnings growth is likely to maintain a strong momentum even beyond the forecast period on new capacity addition and foray into high growth areas of biotech, CDMO and oncology APIs

Lupin: New launches and market share gains are likely to override pricing erosion

BUSINESS

Lupin: New launches and market share gains are likely to override pricing erosion

New launches in the US, particularly in the inhalation category, and an improving market share are expected to help ride over structural pricing erosion in the near term for Lupin

Pharma: Ignore the noise as the core allocation is incremental

BUSINESS

Pharma: Ignore the noise as the core allocation is incremental

Focus on creating health infrastructure in the Budget 2021 is clearly an incrementally structural move which should indirectly benefit all the domestic oriented companies

Dr Reddy’s: Should we look beyond impairments?

BUSINESS

Dr Reddy’s: Should we look beyond impairments?

Large part of impairment charge taken by Dr Reddy's is explained by the erosion in the value of Nuvaring due to the launch of the additional generic product by Teva

Cipla — Large part of COVID opportunity has played out

BUSINESS

Cipla — Large part of COVID opportunity has played out

In the US market, Albuterol opportunity remains a key lever for Cipla at least till the time Perrigo re-enters although in terms of market share, the drugmaker may be close to maturity

Sun Pharma: Sustained traction in speciality to be a re-rating driver

BUSINESS

Sun Pharma: Sustained traction in speciality to be a re-rating driver

Sun Pharma's India business is expected to gain traction as sub-chronic and acute therapies pick up with the opening up of clinics/OPDs. This is likely to be fully backed by the field force where the expansion has recently been completed

Goa Carbon: Is it a turnaround candidate?

BUSINESS

Goa Carbon: Is it a turnaround candidate?

The recent monthly production data of Goa Carbon indicates a pricing improvement for CPC (calcined petroleum coke)

Navin Fluorine: Gold standard of chemicals at the price of diamond

BUSINESS

Navin Fluorine: Gold standard of chemicals at the price of diamond

Despite recent capex announcement in the specialty business, near-term growth of Navin Fluorine is likely to be aided by debottlenecking

Sharda Cropchem: One of the most inexpensive plays on global agro-chem market

BUSINESS

Sharda Cropchem: One of the most inexpensive plays on global agro-chem market

Sharda Cropchem has a healthy line-up of new registrations, and the higher registration in high-margin geographies is a positive for margins in the longer run

Rossari Biotech: Market share gain in textile chemicals is comforting

BUSINESS

Rossari Biotech: Market share gain in textile chemicals is comforting

In the longer term, what we like about Rossari Biotech is that it's led by technocrats with strong domain knowledge, which in turn has helped in superior execution of capex projects in the past and diversification into new end-markets

SRF: Superior execution chemistry; add on decline

BUSINESS

SRF: Superior execution chemistry; add on decline

The underlying trend of 'China plus one' is seen in various end markets of SRF — particularly specialty intermediates in both agro and pharma end markets and technical textiles

Gland Pharma Q3: Strong and clean play on global generic injectables; accumulate

BUSINESS

Gland Pharma Q3: Strong and clean play on global generic injectables; accumulate

We believe dominance of profit/royalty-sharing aspect in the business model distinguishes Gland Pharma from other contract manufacturers

Syngene: A preferred partner of global pharma innovators; accumulate

BUSINESS

Syngene: A preferred partner of global pharma innovators; accumulate

Beyond contract research, another trend to watch for Syngene is the pickup in contract manufacturing business in biologics and APIs

Phillips Carbon: Time to book profit?

BUSINESS

Phillips Carbon: Time to book profit?

Phillips Carbon has been a strong beneficiary of the global supply chain dislocation which initially helped in volume growth and later added to margin improvement

Rallis India: Seeding for the future

BUSINESS

Rallis India: Seeding for the future

Volume growth for most of the products for Rallis has strengthened

Challenges before healthcare and expectations from Budget 2021

BUSINESS

Challenges before healthcare and expectations from Budget 2021

According to the National Health Policy, total public health expenditure is expected to hit 2.5% of GDP by 2025 from the current about 1.3%

Bhansali Engineering Q3: Global shortages may spell better margins in short term

BUSINESS

Bhansali Engineering Q3: Global shortages may spell better margins in short term

In the medium term, Bhansali's traction towards high-grade applications and greenfield expansion is crucial for superior and sustainable margin profile

Bodal Chemicals: Diversification towards benzene chemistry – a structural shift

BUSINESS

Bodal Chemicals: Diversification towards benzene chemistry – a structural shift

Import for select benzene-based chemicals is on an uptrend and hence offers a good import substitution opportunity for Bodal Chemicals

Navin Fluorine: Can it continue to outperform with an eye on the next leg of growth?

BUSINESS

Navin Fluorine: Can it continue to outperform with an eye on the next leg of growth?

Navin Fluorine’s recent capex announcements add to conviction that it's increasingly evaluating other complex applications of fluorine chemistry and looks well focused to diversify into higher margin products

Fed: Vaccine rollout strengthens medium-term recovery

MARKETS

Fed: Vaccine rollout strengthens medium-term recovery

Although news flow about vaccine approval and distribution is positive, the continuing pandemic and the fragility in the economy make the next 4-6 months quite crucial

Rain Industries: Is the worst behind?

BUSINESS

Rain Industries: Is the worst behind?

Overall growth environment is fragile but we estimate that the near-term stress in the demand environment is already priced in Rain's valuations

Colgate Palmolive: Raw material tailwind adds to shine

BUSINESS

Colgate Palmolive: Raw material tailwind adds to shine

Colgate’s strong brand recall among consumers, new launches and higher brand investment should help it post better market share going forward

Britannia — Look beyond near-term haze

BUSINESS

Britannia — Look beyond near-term haze

As for the capex plan of over Rs 700 crore, Britannia prioritises for newer plants in Tamil Nadu and UP, followed by Bihar

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