ICICI Direct has given Buy recommendation for Jubilant Pharmova recommended buy rating on the stock with a target price of Rs 1000 in its research with a target price of Rs. 1000 in its research report issued on Jun 06, 2021
ICICI Direct’s research report on Jubilant Pharmova
Q4FY21 revenues were flat at Rs 1580 crore, up 0.7% YoY amid continued Covid-19 induced impact on radiopharma segment. Specialty pharma (which comprises Radiopharma) de-grew 23.5% YoY to Rs 602 crore. Generics remained flat at Rs 309 crore whereas CDMO segment grew 48% YoY to Rs 574 crore. Contract research & development grew 10% YoY to Rs 94 crore. EBITDA margins were down 419 bps YoY at 23.7% amid higher other expenditure. EBITDA de-grew 14.4% YoY to Rs 375 crore. Adjusted PAT degrew 13.7% to Rs 183 crore.
We maintain BUY rating on the stock with a TP of Rs 1000 (earlier Rs 850 pre-demerger) based on 12x on FY23E EPS of Rs 83.3.