Ami Organics: What should investors do, post recent correction?
According to the management of Ami Organics, the priority for the acquired business of Gujarat Organics is to stabilise revenue and focus on reducing inefficiencies
Food colour companies are in capacity overdrive. What next for investors?
Indian food colour industry is set for dominance after the sharp scale-up in capacity expansion and end-market expertise. Vidhi specialty remains our preferred play
For Sumitomo Chemicals India, speciality is the trump card
The key near-term trigger for Sumitomo Chemical is the manufacturing of technical grade active ingredients for its parent company
Fine Organics glued to green chemicals, may keep valuation premium
The medium-term growth in earnings for Fine Organics is expected to be driven mainly by volume growth in new capacities, better realisations and normalisation of input costs
What's the trump card for this speciality chemical player?
Recent developments point to Clean Science and Technology's focus on enlarging product basket and a focus on green chemistry, which helps it differentiate from the rest
Suven Pharma: Normalisation of margins adds to comfort
There is an emerging preference for full-service CDMOs. This puts players like Suven in a better spot as it tries to capture the whole of the value chain
Gland Pharma’s new product play for FY22 holds a lot of promise
While the US market is still expected to clock 18-20 per cent growth for Gland Pharma in FY22, the company’s foray into non-US markets would accelerate growth in the medium term
Rossari Biotech: Calibrated inorganic strategy opens up opportunities
Rossari’s M&A strategy is apparently focussed on encompassing complementary technology, talent, products and client base
NOCIL: The end of capex cycle ups free cash flow prospects
Faster execution of the ‘China plus’ opportunity will be a trigger for rerating for NOCIL
Divi’s Labs: Vertical integration keeps it ahead of peers
The macro context is fragile, more so because of the second COVID wave. As a result, liquidity will continue to chase businesses such as Divi's Labs that are cash rich and have positive cash flows
Cadila: All in for COVID while keeping a tab on complex pharma
Cadila's stock has been primed by a series of potential rollouts to meet the COVID challenge
Aarti Industries: Planning for a decade; accumulate
Aarti Industries' strong export market and a resilient pharma business should offset the discretionary demand contraction in domestic market in the near term
Dr Reddy’s: COVID opportunity gets wings
Along with Sputnik V and 2-DG, Dr Reddys has further strengthened its COVID opportunity, which makes it a worthy watch
Lupin: Focus on inhalation and bio-similars to aid margins in medium term
In the medium term, the focus is likely to be on the inhalation and biosimilar categories for Lupin, with scale-up in both US and European markets
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
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
Hindustan Unilever: Can the elephant dance like a Pro?
Going forward, challenges cited by HUL are uncertain growth outlook for urban areas, inflationary pressure and subdued prospects for winter
This food colour company’s business model makeover and capex plans need a close watch
In the near term, an improving product mix, lower share of trading business and backward integration are expected to improve earnings for Vidhi Specialty
Cadila: a formidable play in Covid times and beyond
Cadila is not only a credible Indian pharma striving for a Covid solution, but on a longer time scale is an interesting watch in the large-cap space witnessing a significant transformation in product portfolio.
Chemcon IPO: A strong import substitute play, but does it merit investors’ attention?
With respect to the industry’s historical valuation multiple range, Chemcon’s multiples are at the higher end.
Hikal: Focus on operational risk management adds to conviction
Any protectionist measure from the government, given the recent trend towards ant-dumping duty and Make in India theme could disproportionately benefit the Hikal
Pharma: Trump’s executive orders may possibly provide better market access opportunities
Indian drugmakers such as Cipla, Cadila, Lupin, Dr Reddy’s, Sun Pharma and a few small-sized pharma companies such as Laurus Labs may benefit from a likely revamp of US medicare
RIL AGM | Google on board; 5G ready
The RIL AGM saw two big-bang announcements: Google’s investment in Jio Platforms, which was more or less expected, and being 5G ready with solutions
Rossari Biotech: Healthy long-term prospects, but richly valued IPO
Rossari is led by technocrats having strong domain knowledge, which in turn has helped in superior execution of capex projects in the past and diversification to new end markets