The 10 reports from 4 analysts offering long term price targets
for Suven Pharmaceuticals Ltd. have an average target of 541.00. The consensus estimate
represents an upside of 12.60%
from the last price of 480.45.
The quarter saw good product mix as well as strong project execution which aided the CDMO segment performance. In the formulation business, 6 ANDAs have already been approved, out of which 5 have been commercialized including one during Q3FY21. With a strong order book and customer base in the CDMO segment as well as increasing revenue from the formulation segment, the company is poised to sustain its growth momentum in the long term. Hence, we upgrade our rating from Accumulate to Buy with a rolled...
Overall 15-20% revenue growth guidance for FY21 continued, hope to achieve same in FY22; EBITDA margins sustainable above 40% o Pharma CRAMS to also grow 15-20% YoY; specialty chemical...
Q2 results were lower than I-direct estimates on margin and profitability front. Revenues were in line with I-direct estimates. Despite pandemic and high base, the company has guided 15-20% growth based on strong order book position (albeit some expected delays). Regarding the optically high capex plan of | 600 crore for modernisation and technology upgradation, we believe this has to do with the need to cater to the changed priorities and requirements at the behest of the clients, the benefits of which may be visible in the long run. We continue to emphasise on the strong execution...
Suven Pharma reported soft 2Q. Revenues declined 13% YoY (flattish QoQ) with EBITDA margins at 41% (down 500bps YoY and 600bps QoQ). Lower revenues from specialty chemicals segment impacted margins. Further, lower profit share from Rising Pharma also impacted profits (down 20% YoY and QoQ). Nonetheless, management reiterated its guidance of 15% growth in top-line and 15-20% growth in bottom-line with EBITDA margins at 40%+ for FY21. This implies a robust 2H. Suven is on track in launching molecules (two in specialty chemicals over FY21-22 and one in pharma) in...
Suven Pharma has turned ex-bonus from September 25, 2020 pursuant to the board approval granted for the issue of bonus shares in its meeting held on September 16, 2020. The record date for the same has been fixed as September 28, 2020. The board has recommended the issue of bonus shares in proportion of one bonus share (face value of | 1 each) for every equity share held (i.e. 1:1). Consequently, the share price has changed to | 369/share from | 738/share. Accordingly, our target price has also been revised to | 385/share from | 770/share earlier. After the recent run up, the...
We downgrade our rating from Buy to Accumulate, based on 22x FY22E EPS with a target price of Rs.746 as the recent rally has factored in the positive triggers for the company . SPL's Q1FY21 revenue grew by 21% YoY to Rs.238cr led by growth...
Post de-merger from Suven Life Sciences, pharma business will be largely driven by two cash cow CRAMS segments i.e. pharma, speciality chemicals. With a strong margin profile (+40%) without the R&D; burden of innovative pipeline, the free cash flow is likely to remain strong. Despite pandemic and high base, the company has guided 10-15% growth based on strong order book position (albeit some expected delays). Despite significant run up, there is still scope for upside as the company is still trading at significant discount to some leading players in the space dealing with innovators. We...
Valuation. At the CMP of `652, the stock trades at 22.1x, 18.3x and 15.5x respective FY21e/22e/23e earnings. We retain our Buy recommendation, with a higher price target of `760 (earlier `695), based on 18x FY23e EPS. Risks:...
During the year total revenues grew by 27% to Rs.834crs driven by 18% growth in CRAMS, 41% growth in Speciality chemicals and 40% growth in Formulations. In the CRAMS segment, the company has been able to add new customers during the year and the segment is now 56% of total revenues. In the coming year, the management stated that new projects may be difficult to undertake owing to the ongoing Covid-19 scenario. In CRAMS, the company plans to integrate into APIs and later into formulations, in addition to intermediates, which it is currently focusing on. We expect a revenue CAGR of 13% for CRAMS over FY20-FY22E...
