Stride Arcolab has target of Rs 475, says PN Vijay, Portfolio Manager.
Vijay told CNBC-TV18, "Stride Arcolab is a Bangalore based like Biocon- Research driven professionally promoted organization. They also concentrate on the export space and they are not like Cadila or a Cipla which has a big domestic formulation business. There are a lot of good things happening to them. Mainly the block buster oncology drug is going to be launched in the 181 day period and they are not doing these things by themselves. They tied up with Pfizer to get into the American market. In fact there are about 40 oncology drugs. which have been approved and which Pfizer has been be launching for them and this is going to give them a big earnings visibility."
He further added, "The last quarter was very good, their earnings went up about close to 30%. They had a bit of an interest problem mainly because of block up in working capital but I think that will get adjusted pretty soon due to some milestone payments they are receiving. It is very-very nicely priced. At about Rs 375 it is trading at about 7.5 times its EPS of about 50 which we expect for
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