Sharekhan has given Buy recommendation for Laurus Labs with a target price of Rs. 750 in its research report issued on Jul 01, 2021
Sharekhan’s research report on Laurus Labs
FY2021 was a stellar year for Laurus Labs and in its FY21 annual report, management has laid a higher emphasis on sustainable growth and has accordingly charted out growth strategies. The company’s key focus areas for sustainable growth include – leveraging cost advantages in API business to integrate into fixed dosages, develop synthesis business, capitalise on leadership in select high-growth APIs, expansion of API portfolio to other therapeutic areas and lastly, ESG integration. Robust growth prospects, sturdy capex, likely market share gains would support the management’s target of achieving a topline of $1 billion in the next two years.
We retain Buy recommendation on Laurus Labs with a revised PT of Rs 750, backed by strong growth prospects, visibility on earnings, healthy return ratios.