Fundamental Analysis

ASTEC LIFESCIENCES 

Ticker : 533138
BUY : Rs 1,263.50
Target : Rs 1,400

Astec LifeSciences Limited is an India-based holding company. The company is engaged in Agrochemicals, including fungicides and herbicides business. The range of agrochemical active ingredients and pharmaceutical intermediates are manufactured by the company. On a consolidated quarterly front, its net sales grew by 10.55 per cent for the quarter ended September 2020 to Rs 155 crore from Rs 140.22 crore reported in the same period of the previous fiscal year. The company reported an operating profit of Rs 31.35 crore in Q2FY21, drastically up by 83.47 per cent as compared to Rs 17.09 in Q2FY20. The net profit majorly shot up by more than 200 per cent and was Rs 17.86 crore in Q2FY21 as compared to the net profit of Rs 5.28 crore recorded in Q2FY20. Post COVID-19 recovery stage, the company saw strong demand for the products. They also commissioned two new products for the multinationals. Sensing a strong growth for the products along with strongly growing financials and the overall sector, we recommend BUY for this stock.