Chemicals & Petrochemicals share price target

Sustainability has been the buzz word since past few years. Afterall, 2024 stood out as the warmest in the 175-year observational records maintained by World Meteorological Organization. In fact, each of the past ten years were the warmest years on record. The largest three-year loss of glacier mass happened in the past three years. Carbon dioxide levels in the atmosphere are the highest in the last 800,000 years. Among numerous extreme events of rainfall, flood and drought, one of the most notable was heatwave in Saudi Arabia where temperature reached as high as 50C. But sustainability costs. As a result, we have witnessed flip flops by companies (as well as countries). Drill, baby drill has been a classic example. Amidst all this hullabaloo, a recent study does throw credible positive signs on adoption of sustainable products...

After levying an initial 10% tariffs across all the imports from China, Trump has over Chinese counterparts considering 10% retaliatory tariffs by USA on Indian companies. USA is largest importer of chemicals of India and accounts for 14% of the total chemical's exports from India. Back in 2018 when first trade war between USA-China began, India was a beneficiary with its total exports to...

Consensus estimates for FY26 also cut continuously for the past 7 quarters Aggravating demand, inventory stocking, and continued dumping combined with lack of visibility have led to sharp downward revisions in consensus estimates for specialty chemical companies under our coverage. As a result, sliding stock prices, with a few having almost halved in past few quarters, resonate more with EPS cuts rather than downgrades. Some companies like Aarti Industries and Gujarat Fluoro have witnessed as much as 70-75% cut in their FY25 consensus estimates since they began appearing, while most...

Our top positive plays are: Archean Chemical Industries Ltd; PI Industries Ltd; Praj Industries Ltd; Mold-tek Packaging; Pitti Engineering

Top Sector Ideas - Chemical Q4FY24