May 23, 2018 03:58 PM IST | Source: Moneycontrol.com

Buy Abbott India; target of Rs 7530: Centrum

Centrum is bullish on Abbott India has recommended buy rating on the stock with a target price of Rs 7530 in its research report dated May 15, 2018.

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Centrum's research report on Abbott India


AIL’s EBIDTA for Q4FY18 was lower than our expectations whereas net profit was higher than our expectations. The pharma major’s revenue grew 10% YoY, margin improved 470bps to 13.5% and net profit grew 138% YoY. That said, the company’s eleven leading brands grew faster than the market and are likely to drive future growth.

Outlook

We maintain our Buy rating on AIL with a TP of Rs7,530 based on 24x March’20E EPS of Rs313.6.  we have revised FY19E and FY20E EPS by 6% and 7% respectively. We expect AIL to perform well due to its strong brands, new product launches and presence in the high-margin vaccine segment.

For all recommendations report, click here


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