Transcript
Techno - Fundamental Report OCTOBER -2016
Sun Pharma Advanced Research Company BUY PRICE : 329- 331
E-Mail :
[email protected] : 0484-3060274
TARGET : 353- 362
Company Description:Sun Pharmaceutical Advanced Research Company Ltd is an international research based pharmaceutical company engaged in creating new drugs and delivery systems. The company works on innovation and new product development for global markets. Sun Pharma, the parent company, continues to invest independently in generic research, both for process development for API (Active Pharmaceutical Ingredient) and formulation development for dosage forms. This Industry comprising pharmaceutical, biotech and healthcare delivery segments is in the midst of a recovery globally, sustained in part due to launch of newer and expensive drugs, emerging markets’ demand and encouraging catalytic economic and demographic trends. Aging populations, increasing prevalence of chronic and lifestyle diseases, ongoing economic expansion of emerging-markets, and scientific & technology innovation are expected to sustain the momentum of the life sciences sector. INDUSTRY OVERVIEW The life sciences sector comprising of pharmaceutical, biotech and healthcare delivery is experiencing a modest upswing globally, sustained in part due to launch of newer and expensive drugs, emerging markets demand and encouraging catalytic economic and demographic trends. Aging populations, increasing prevalence of chronic/lifestyle diseases, emergingmarket expansion, and treatment & technology advances are expected to sustain the momentum of life sciences sector growth.
STOP LOSS : 310
NSE Code
SPARC
BSE Code
532872
52wk High
414.90
52wk Low
243.54
Market Cap (in cr)
8742.43
FV
1
Company Financials Rs in Cr MAR- 16
Revenue Total Income Net Profit
Share Capital
161.28 164.22
MAR- 15 MAR- 1 4
155.74
167.03
158.77
177.03
-69.99
-39.52
30.32
23.67
23.67
23.67
Total Reserves
6.23
76.13
115.63
Total Debt (Long)
2.73
3.27
3.82
162.66
142..67
183.54
Adjusted EPS (Rs)
-2.96
-1.67
1.28
Book Value
1.26
4.22
5.89
227.93
116.6
24.77
Assets Total Assets Key ratios:
Price / Book Value
Source: DBFS Research,Value Research
DBFSL RESEARCH OCTOBER -2016
Investment Rationale:v For the year ending march 2016 Company reported a total income Rs.161.28 cr against 158.77 crs in previous year and Companies total asset was up 162.66 cr during the year under review as against Rs 142.67 cr in the corresponding previous year. v The Companies expenditure is very high, because of the company is mainly focusing and spending mostly in their research and clinical trials area and also working on building partnerships with several reputed universities which may also add to the expenditure and this mostly gives a positive results for the company, which clearly indicates that the strong determination of the management have an “eye” on the coming future build up and growth. From this arena we are expecting this company to deliver a better profitability and better return for investers in coming future. v The companies growth is being directed by a number of positive fundamentals including the recent increase in R&D productivity, which has resulted in a turnaround in drug approvals, At present , Company have the effort to increasing their clinical portfolio and try to expand their growth in the coming years where as they have submitted two new drug application (NDA), they are going to conduct three late stage clinical programmes and also they have five programmes under their early clinical development, which will signifies some encouraging sign and support for the company in the coming future.
DBFSL RESEARCH OCTOBER -2016
Technical view:-
Technical pattern of above chart indicates six month daily movement. We are really observing a positive on this stock from the long run point of view. The scrip is currently just crossed the 21 moving average level and aftermath trading over this levels gives a strong positive momentum from the technical point of view. So we are expecting this scrip to reach the price to touch 350 – 360 level from CMP, also make sure the strict stop loss around 307 level.
Disclaimer: This report is only for the information of our Institutional and retail clients. Recommendations, opinions or suggestions are given with the understanding that readers acting on this information assume all risks involved. The information provided herein is not to be constructed as an offer to buy or sell securities of any kind. DBFSL and/or its group companies do not assume any responsibility or liability resulting from the use of such information. DOHA BROKERAGE & FINANCIAL SERVICES LIMITED Smart Centre, Civil Lane Road, Vazhakkala, Kochi - 682 021 SEBI Regn. No. PMS:INP000003302
