Natco Pharma Ltd. share price target

Natco Pharmaceuticals (Natco) is a R&D focused player with strong focus on oncology and hepatology. The company is a market leader in the domestic generic oncology space with 23% market share.

Natco Pharma is a Hyderabad based pharma company with focus on limited competition and high margin products. It has presence in domestic and global markets and has two main business segments i.e. API and Formulations. Natco's topline and bottomline is set to grow at 36% and 61% CAGR over FY16-FY19E due to 1) strong performance of domestic..

Revenue rose by 54.83% to Rs. 642.86 Cr in Q3FY17 when compared to the previous quarter. Also, it grew by 133.62% when compared with Q3FY16.

Natco Pharmaceuticals Ltd (NPL) reported a topline of INR 679 crs, which was 55% higher than our estimates of INR 321 crs. The strong uptick in numbers was primarily on account of...

ICICI Securities Ltd | Retail Equity Research Revenues grew 136% YoY to | 679 crore (I-direct estimate: | 407 crore) mainly on account of sales and profit sharing from Oseltamivir (gTamiflu; anti-infective) under exclusivity in the US EBITDA margins improved 1713 bps YoY to 38.3% (I-direct estimate: 23.5%) mainly due to gTamiflu exclusivity. EBITDA grew 326% to | 260 crore (I-direct estimate: | 96 crore) Adjusted net profit increased 428% YoY to | 195 crore (I-direct...

Stellar Quarter on the Back of gTamiflu Inventory Build-up; Target Price Raised: Alvogen (Natcos commercialization partner for gTamiflu) launched gTamiflu onDec 12, 2016. But gTamiflu sales to Alvogen were recorded for the quarter ended September 2016, because the agreement is structured such that Natco will sell gTamiflu at cost plus certain markup to Alvogen. The sales are basically inventory build-up of gTamiflu in the run-up to the launch. The profits from gTamiflu sales in US would be shared between Alvogen and Natco.

Natco Pharma's (NTPH) R&D; pipeline has been built with focus on (1) intricate chemistry and (2) many complex processes. Its 21 pending ANDAs are focused on high barrier to entry products (~50% in oncology and multiple sclerosis) that are difficult to manufacture, formulate or may face legal and re..

ICICI Securities Ltd | Retail Equity Research Revenues grew 92.5% YoY to | 467.9 crore against I-direct estimates of | 316.2 crore mainly on account of Oseltamavir (gTamiflu; antiinfective) revenues received from US based partner Alvogen EBITDA margins declined 155 bps YoY to 22.4% (I-direct estimate: 24.0%) mainly on account of lower gross margins. Lower gross margins were mainly due to lower margins registered in Oseltamavir Adjusted net profit increased 127% YoY to | 67 crore (I-direct estimates: | 48 crore) mainly on account of a strong operational...

Natco Pharma is dominant in the domestic oncology and gastro hepatology segments with a niche portfolio of 28 products including the generic version of Gilead's Sovaldi. Company's manufacturing facilities are vertically integrated with strong inhouse API development and complex products in finished dosage formulations. In bid to diversify its products segment it has...

Revenues grew 45.4% YoY to | 325.2 crore (I-direct estimate: | 321.1 crore) due to strong traction from Hepatitis-C segment (300% growth to ~| 135 crore) • EBITDA margins declined 186 bps YoY to 23.8% (I-direct estimate: 22.5%) mainly on account of higher other expenditure. EBITDA grew 34.8% to | 77.3 crore (I-direct estimate: | 72.2 crore) • Adjusted net profit increased 69.8% YoY to | 47.7 crore (I-direct estimates: | 46.1 crore) on account of lower finance costs, depreciation and high other income. ICICI Securities Limited new target price is | 700, which includes base business value of | 345 (25x FY18E EPS of | 13.8) + | 355 for NPV of other FTF/Para IVs.