Amy is a leading manufacturer of intermediates for API/NCE and an emerging specialty chemicals player. Early targeting of products, intent not to compete with clients and diversified chemistry skills have driven long-term client relationships and market share dominance in many products, highlighted brokerage Ambit in a note.
Brokerage starts coverage with buy rating on specialty chemical stock with a target price of target price of 1,500 per share with a time horizon of twenty four months.
Ambit’s ability to replicate cost/market-share leadership in a growing number of Divi’s products, despite being very different in scale, is the key to achieving the same valuation trajectory, Ambit said.
“Amy’s strengths are diversified and long-lasting tie-ups and R&D strength. Long regulatory pregnancies to switch, scale driven cost edge (30-90% stake across multiple products) and diversified chemistry skills provide sustainability Large product suite and investment in people and efficiencies position it well for high multi-year growth,” the note said.
Amy Organics is one of the leading R&D driven manufacturers of specialty chemicals with various end uses, providing regulated and generic APIs (Active Pharmaceutical Ingredients) and NCE (New Chemical Unit) and Pharma Intermediates for major starting materials for Agrochemicals. Focused towards development and manufacturing. and fine chemicals.
“Amit is well positioned to capitalize on the investments he has made in the capacity and people as well as the expanded specialty chemicals playbook following the recent acquisition of GOL,” Ambitt said.
The views and recommendations given above are those of individual analysts or broking companies and not of Mint.
Never miss a story! Stay connected and informed with Mint.
download
Our App Now!!
,