Subscribe to Blue Jet Healthcare: Geojit

Geojit has come out with its report on Blue Jet Healthcare. The research firm has recommended to “ Subscribe ” the ipo in its research report as on October 23 2023.

Broker Research

October 25, 2023 / 13:19 IST

IPO

26 Aug, 2025 12:21

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Geojit IPO report on Blue Jet Healthcare

Blue Jet Healthcare Ltd (BJHL), established in December 1968, is a specialty pharmaceutical and healthcare ingredients and intermediates firm that focuses on unique products tailored for innovator pharmaceutical and multinational generic pharmaceutical companies. They develop and supply specialty pharmaceutical and healthcare ingredients and intermediates under a contract development and manufacturing organization (CDMO) business model. Over the last 3 years, BJHL has issued invoices to more than 400 customers in 39 different countries. Furthermore, the company operates three manufacturing facilities located in Maharashtra. The global contrast media formulations market is at ~US $5.9bn(~Rs.442.5bn) and is expected to grow at a CAGR of 6-8% over CY23-25 led by rising healthcare expenditure, demand for preventive healthcare and rise in lifestyle diseases etc. The global high-intensity sweetener market is at ~US$2.9 to US$3.0 bn (~₹232– ₹240 bn) in size in FY23 and is expected to grow at a CAGR of ~ 6% to 7% over the next 5 years. BJHL’s, core business encompasses three key product categories i.e., contrast media intermediates (~71% of sales in FY23), high-intensity sweeteners (~25% of sales in FY23), and pharmaceutical intermediates and active pharmaceutical ingredients (~5% of sales in FY23).

Valuation and Outlook

At the upper price band of Rs.346, BJHL is available at a P/E of 34x (FY24E annualised EPS), which appears to be fully priced. Considering its strong business prospects, healthy return ratios, forward integration, greenfield expansion plans and promising industry outlook, we assign a “Subscribe” rating on a medium- to long-term basis.

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