Buy PI Industries; target of Rs 4430: KR Choksey

KR Choksey is bullish on PI Industries has recommended buy rating on the stock with a target price of Rs 4430 in its research report dated July 19, 2024.

Broker Research

July 23, 2024 / 15:05 IST

Buy

26 Aug, 2025 12:21

Volume

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KR Choksey's research report on PI Industries

PI Industries Limited (PIIND) is a global agrochemicals and life sciences company, since 1946. The company manufactures, in-licenses, and distributes agro-chemicals including insecticides, fungicides, herbicide, and specialty products for over 20 global innovator companies. The company also offers custom synthesis and manufacturing (CSM) services, since 1996. Exports form 84.4% of the revenue while domestic revenue contributes 15.6% of the revenue, as of Q4FY24. North America is the largest market followed by India, Asia, Europe and RoW, as of FY24. The company operates 5 formulation facilities and 15 multipurpose plants across 3 manufacturing locations. The company forayed into Pharma and life sciences CDMO services in a major way since Q1FY24.

Outlook

PIIND is trading at ~34.8x/~30.3x its FY25E/FY26E EPS estimates. We value the company’s stock at ~35.0x its FY26E EPS of INR 127 and arrive at a TP of INR 4,430. As it implies an upside of 16% from the CMP, we initiate coverage on the company with a BUY recommendation.

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