Antique Stock Broking has maintained a Hold rating on Laurus Labs, while raising its target price to ₹700 from ₹520, reflecting a more balanced view on the company’s growth outlook despite ongoing execution challenges.
The brokerage acknowledged that the CDMO segment continues to show momentum, but noted that visibility remains limited, with no major contracts or consistent commercial supplies yet materializing. The ARV business delivered growth in Q1, though the full-year outlook remains flat, according to the firm.
Antique also flagged that the Bio CDMO vertical is still grappling with scale-up challenges, delaying the segment’s overall contribution to financials.
Despite these near-term hurdles, Laurus is expected to post a ~16% revenue CAGR between FY25 and FY28E. EBITDA margins are projected to improve meaningfully — from 19% in FY25 to around 30% by FY28 — as efficiencies kick in over the medium term.
Earnings estimates for FY26 and FY27 remain largely unchanged.
Disclaimer: This article is based on Antique Stock Broking’s research report and does not constitute investment advice. Please consult a certified financial advisor before making any investment decisions.
