Camlin Fine Sciences Ltd. share price target

We maintain our HOLD rating on the stock.

We maintain our HOLD rating on the stock.

We revise our rating from BUY to HOLD on the stock primarily driven by the expected delay in the recovery of the aroma business and the facility in Europe.

We revise our rating from HOLD to BUY on the stock as the valuations have factored in the worst case scenarios.

Recommendation: We maintain our HOLD rating on the stock

We maintain our BUY rating on the stock given the comfortable valuations and cushioning from the buyback offer letter.

Company Outlook & Guidance:The company expects to monetise its Vanillin inventory in the coming quarters.CFSs havestrong performance in domestic entities which is supported by robust growth in performance chemicals.This will aid in higher earnings in the coming years post some teething pains.

We maintain our BUY rating on the stock valuing it at 18x FY24E implying a target price of 180 which translates to 11% upside potential from the CMP

Consequently, we have revised our TP to Rs 180 implying a upside of 21.6% from CMP Rs 148 and Maintain our BUY rating on stock.

We maintain our Buy rating on the stock with TP of Rs 190/share valuing the company at 18x its FY24 earnings.

We recommend a BUY rating on the stock with a near term TP of Rs 147, implying an upside of 14% from CMP.

e maintain a BUY rating on the stock with an unchanged TP of Rs 215/share valuing the stock at 17x FY24E EPS.

Owing to the strong growth guidance over FY21-23E our estimates undergo a revision leading to a revised TP to Rs. 215/share (Rs. 184/share earlier) and multiple of 18x on its FY23E EPS.

We maintain our BUY recommendation on CFS and value the stock at 16x FY23E EPS to arrive at a TP of Rs. 184/share, implying an upside of 12% from CMP.

We initiate coverage on Camlin Fine Sciences Ltd. (CFS) with a BUY recommendation and a Target Price of Rs. 155, which implies a 46% upside from current levels.

Refer to important disclosures at the end of this report Going in right direction; maintain Buy Camlin Fine Sciences' (CFIN) Q3FY19 consolidated performance was above estimates on revenue and PAT front. Revenue up 17% yoy to Rs2.41bn (est. Rs2.29bn); EBITDA up 232% yoy to Rs154mn (est. Rs160mn); with net loss at Rs20mn (est. Rs36mn loss). CFIN's performance is headed in the right direction and well in line with our expectations. The key loss-making subsidiaries in Brazil and China are reaching a breakeven. Further,...

Camlin Fine Sciences' (CFIN) consolidated revenue grew by 54% yoy to Rs2.06bn (Emkay Est. Rs1.97bn) on the back of strong growth traction across key segments like Aroma (698% yoy), Blends (59% yoy), Performance (19% yoy) and Shelf-life (6% yoy). EBITDA stood at Rs46mn, up by 130% yoy but was lower than our estimate of Rs98mn on account of exceptional loss of Rs108mn (Loss: Forex -Rs57mn, China JV -Rs50mn)....

BUY Camlin Fine Sciences Ltd between Rs. 78- 70 for the target of Rs. 99, 117

Key highlights: Consolidated sales (Rs 1.4bn, +14% yoy) were 4% above our estimates. EBITDA margin saw sharp correction to 11.2% (vs. estimated 21.2%) on account of – (1) production disruption in Italy subsidiary for a month period (for implementing efficient technology with target to conserve energy and reduce wastage) and initial marketing spend to launch antioxidant blends in USA. Thus, the EBITDA declined 45% yoy to Rs 157mn. The weak operating performance and higher taxes dragged PAT by 78% yoy to Rs 31mn (estimated Rs 116mn). The weak operating performance was primarily due to quarter specific execution issues at subsidiaries. The standalone financials reported 3% sales growth (to Rs 1.02bn) coupled with 160bps expansion in EBITDA margin (to 17.5%), resulting in 18% yoy growth in profits to Rs 65mn (despite higher tax incidence of 36%). Phillip Capital retain their Buy rating with an unchanged TP of Rs 135 (9x FY18 EV/EBITDA).

9 Consolidated sales were lower than our estimates, but a smart >500bps surprise in marginsledto20%higherthanexpectedearnings. 9 FY16PATperformancewas10%aheadofourestimatesduetoa150bpspositivemargin...