Abbott India Ltd. share price target

Abbott's top 10 brands - (Mixtard, Thyronorm, Novomix, Udiliv, Duphaston) together posted revenue CAGR of ~7% MAT, December 2018-22 Abbott has 140+ brands in segments of women's health, gastroenterology,...

The company is expected to report Revenue/PAT CAGR of 11.1% and 11.3% 0ver FY21-FY24E backed by stable sales in the Duphaston brand, an increase in volume in the Thyronorm brand, and a pick-up in the IPM growth. Therefore, we recommend a BUY rating on the stock with a Target Price of Rs 20,000/share

We recommend BUY with a TP of Rs 20,000/share.

We recommend a BUY rating on the stock with a Target Price of Rs 22,400/share.

We expect Revenue/PAT CAGR of 11.1%/11.3% respectively over FY21-FY24E. While a TP of Rs 20,000 implies a marginal downside of 2.5%, we remain positive on the long-term outlook of the company and recommend a HOLD rating on the stock.

We expect stable sales in the Duphaston brand and an increase in volume in the Thyronorm brand to result in revenue and PAT CAGR of 11.1% and 11.3% respectively 0ver FY21-FY24E. However, considering rich valuations (PE 40x for FY24E), we recommend HOLD with a target price of Rs 18,000/share.

The company's top five brands - (Duphaston gynaecological, Thyronorm thyroid, Udiliv, Duphalac both GI and Vertin- CNS) together posted revenue CAGR of ~13% in March 2017-21 (MAT basis) Abbott has 140+ brands in segments of women's health, gastroenterology,...

It is expected that competition to the Duphaston brand and stable volume in Thyronorm could result in lower revenue in upcoming quarters for Abbott India. We, therefore, recommend HOLD' on the stock with a target price of Rs 15,800/share.

Covid-19 related disturbances notwithstanding, companies from the pharma MNC staple like Abbott continue to generate investor's interest with robust and sustainable business model backed by stable growth, debt-free b/s, favourable market dynamics with doctor prescription stickiness and lower perceived risk factors. We continue to believe in Abbott's strong growth track in power brands and capability in new launches on a fairly consistent basis (+100 launches in the last 10 years). We maintain BUY and arrive at a target price of | 19235 (vs. earlier | 19065)...