The 6 reports from 4 analysts offering long term price targets
for Sumitomo Chemical India Ltd. have an average target of 349.67. The consensus estimate
represents an upside of 18.79%
from the last price of 294.35.
The company has been reducing share of generic portfolio from its basket and improving the share of speciality business, which should expand gross margins for the overall business ahead. Revenue from speciality business for 9MFY21 increased 17% YoY to | 718 crore while the same from generic remained at | 1393 crore (up 2% YoY). This expanded gross margins by 431 bps YoY to 37.4% for 9MFY21. Going ahead, we expect the focus to continue on improving speciality share given the management also expects to increase CRAMS revenue mix by introducing five technical over the next...
Sumitomo Chemicals India Ltd (SCIL) reported good results with revenue/EBIDA/PAT beat of 3.1%/1.4%/12%. The beat on EBITDA was driven by 13bps/-23bps beat on gross margin/EBITDA margin. PAT beat of Rs58mn was due to 377% YoY rise in other income to Rs54mn and lower effective tax rate vs. our estimate. We have marginally raised estimates and target price (TP) from Rs348 to Rs349. Key drivers for the stock: the IMD has issued a forecast for a normal monsoon this year. This implies a third successive year of good monsoon - for the first time after more than 60 years. Much as this is positive for the FY22 business outlook of the CPC industry and also SCIL,...
markets products for Crop Protection, Grain Fumigation, Rodent Control, Bio Pesticides, Environmental Health, Professional Pest control and Feed Additives for use in India. SCIL has also marked its presence in Africa and several other geographies of the world (accounting for ~20% of sales). The Company operates through three...
Many sectors in domestic market were impacted by pandemic and lockdown along with some disruptions on demand/supply side. Although agricultural sector remained immune during this turbulent phase, predominantly from the highest ever fertiliser sales ahead of Kharif season. This should somewhere bolster the growth outlook for agrochemicals as well. Thus, in this scenario it's prudent to invest in cherry picking stocks like Sumitomo Chemical (SUMITOMO CHEMICAL COMPANY JAPAN holds 78.30% stake currently). SUMICHEM's diversified portfolio, strong parentage, rich product pipeline from...
Given that majority of sectors in the domestic market were impacted due to lockdown along with demand/supply side challenges, only agricultural sector remained immune during this turbulent phase. This is evident from the fact of highest ever fertiliser sales ahead of Kharif season. This should also bolster the growth outlook for agrochemicals. Further, locust impact during Q1 should also improve the growth outlook for some agrochem companies like Sumitomo given it has a strong presence in few molecules for insecticide segment. H1 has around 65% share in overall revenue of the...
Incorporated in year 2000, Sumitomo Chemical India (SCI) is into agrochemical, animal nutrition and environmental health solutions. The company has been selling proprietary products of its parent in the domestic market. With the recent merger of Excel Crop Care (ECC), we expect the business portfolio of the merged entity to expand across different crops given the former is present in staple crops as against SCI that is in fruits & vegetables. Further, better distribution reach across key geographies in domestic as well as export markets would provide revenue synergies to the...
