Sharda Cropchem: Domestic COVID disruptions no dampener for this value play
Localised COVID restrictions are unlikley to have any impact on Sharda Cropchem. Most of its sales as well as raw material sourcing are outside India where economic activities have almost normalised
June 08, 2021 / 02:54 PM IST
Godrej Agrovet | Investor Balram Singh Yadav sold 10 lakh equity shares in the company at Rs 570.01 per share, whereas promoter Godrej Industries acquired 9,76,047 equity shares in the company at Rs 570 per share, the BSE bulk deals data showed.
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
Sharda Cropchem (SCC, CMP: Rs 352, M Cap: Rs 3,178 crore) witnessed a strong volume-led growth in the quarter gone by. While this was partly anticipated with the gradual reopening of the global economy, the company’s increased investment for product registrations has surprised us.
This adds to our belief that a healthy pipeline of new product registrations and expansion in high-margin geographies will help it rerate further. The stock is up about 30 per cent since our last note when...