Buy Oriental Aromatics; target of Rs 424: Joindre Capital Services

Joindre Capital Services' research report on Oriental Aromatics

Incorporated in 1961, OAL is one of the pioneers in terpene chemistry in India. It was the first company to set-up a Synthetic Camphor plant in India in 1964 with technology from Dupont, USA. OAL is the largest exporter of specialty aroma chemicals which finds application in a wide range of products including deo & perfumes, cosmetics, fabric care products and other personal care products. Fragrance chemical portfolio of OAL includes Astromeran, Astrone, Astrolide, Capinone, Dihydroterpineol, Dihydroterpinyl Acetate, Fenchone, Isoborneol, Isobornyl Acetate, Ketone 101, Terpineol, Terpinyl Acetate, Citwanene, Isolongifolene, Longifolene, Camphor. OAL is having three manufacturing units at Bareily U.P, Ambernath and Vadodara, Gujarat.

Outlook

Hence we believe that the OAL stock should be purchased at the current price for a price target of around Rs 424 over the next 18 months.