Granules India Ltd, a key player in the pharmaceutical industry, has been recommended by Share India with a buy range of ₹590-610 and a target price of ₹770, offering a potential upside of 26%. The company is projected to grow at a CAGR of 34% from FY24 to FY26, backed by its strong market position in the U.S. for CNS/ADHD products and continued expansion in oncology and other high-margin segments.
Key Highlights:
- Granules India is focusing on backward integration, large-volume production, and product portfolio expansion, including 16-18 new product launches expected by FY25.
- The company is a market leader in the U.S. for CNS/ADHD-related products, contributing to 70% of GPI’s revenue, ensuring steady growth.
- Granules is also expanding its manufacturing capabilities with a new facility in Genome Valley, Hyderabad, which will support long-term growth in finished dosage forms.
- The company’s EBITDA margins saw significant improvement, reaching 22% in Q1 FY25, driven by higher-margin finished dosage sales.
With a strong foothold in high-demand therapeutic areas and strategic expansion plans, Share India recommends accumulating Granules India for its long-term growth potential.
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