Fundamental Analysis

VINYL CHEMICALS (INDIA) LTD.

Ticker : 524129 
BUY: ₹308.90
Target: ₹350

Vinyl Chemicals (India) Limited, a Parekh Group company, was promoted by Pidilite Industries Ltd in 1986. The company is currently engaged in the business of trading in chemicals viz. vinyl acetate monomer (VAM). On a standalone basis, the company recorded net sales and other operating income of Rs 333.08 crore, zooming more than 100 per cent as compared to Rs 126.69 crore reported in Q3FY21. The operating profit was recorded at Rs 14.27 crore in Q3FY22, recording a robust rise as compared to Rs 6.48 crore in Q3FY21. Q3FY22 recorded a net profit of Rs 10.62 crore in comparison with net profit of Rs 4.83 crore in Q3FY21, a significant rise. On a YoY basis, the company also reported a decent growth inEPS standing at Rs 11.13 for the nine-month period ended December 31, 2021 in comparison to Rs 4.09. Paying close attention, the key financial indicators for the company look quite decent. Hence, we recommend BUY.