Balaji Amines’ Stock Outlook & Returns
The share price of Balaji Amines is currently trading at Rs 2,163/share, down 1.03% as compared to its previous close of Rs 2,190.45/share. On 10 February 2023, the stock hits its new 52 week low at Rs 2,152.50/share. The current market price is Rs 0.49% up from its 52 week low. Its 52 week high was recorded on 15 September 2022 at Rs 3,841.85/share.
It has fallen 0.42% in the past 1 week. In the past 1 month, it has fallen 15.53% and in 3 months it has fallen 27.66%, respectively. In the past 1 year, it has fallen 23.92%. It gave 413.04% robust return in the past 3 years. It gave 222.9% positive return in the past 5 years.
Result Highlights of Q3FY23
- During the quarter, Balaji Amines Ltd (BAL) reported robust revenue of INR 5,859mn (+3.73% YoY / -6.62% QoQ). Such performance was mainly driven by higher volumes from amines & specialty chemical segments.
- On the operational front, EBITDA in Q3FY23 stood at INR 1,278mn (-19.52% YoY / -26.13% QoQ), OPM declined by 630bps/576bps YoY/QoQ. The decline in operating margin was mostly attributable to pharma and API industry contraction.
- Net Profit in Q3FY23 stood at INR 838mn showing a decline of-17.6%/-29.29% on YoY/QoQ basis, with NPM at 14.3%.
- EPS during the quarter came at 19.3 against 27.6 in the same quarter last year.
KR Choksey Recommends “Buy” For A Target Price of Rs 3,790 apiece
KR Choksey Said, “We believe BAL’s improved capacity utilisation at different plants will result in better operating leverage. Going ahead, Its strategic investments towards products which are substantial imports or products with limited competition will aid growth. At CMP, BAL is trading at 21.28x/16.56x its FY23E/24E earnings. We remain positive as it will sustain growth potential and value the stock at a target P/E multiple of 23x FY24E, which yields a price of INR 3,790 per share(Earlier target price INR 4,313 per share) and thus maintain ‘BUY’ recommendation.”