ICICI Direct's research report on Advanced Enzyme Technologies
Advanced Enzyme Technologies (AET) is a focused, research driven Indian enzymes company with a product basket of 400+ proprietary products developed from 68 indigenous enzymes and probiotics. The business is divided into three segments - 1) human healthcare, 2) animal healthcare and 3) industrial processing business • It has nine manufacturing and seven R&D facilities, which consist of three integrated fermentations, recovery & formulation facilities, one extraction and recovery facility and one satellite blending, mixing & formulation facility.
We upgrade the stock from REDUCE to HOLD with a neutral stance as we wait for 1) consistency in core businesses 2) improvement in margin profile. We value AET at Rs 300 i.e. 22x FY24E EPS of Rs 13.6.