12.05.2019
AAKASHAYA PATRA EXCLUSIVE STOCK FOR INVESTMENT:
Jagsonpal Pharma (CMP Rs. 26.6)
Target - 52- 55, SL - 18
Time Frame 18 to 60 Months
Incorporated in 1964, Delhi based Jagsonpal Pharmaceuticals Limited
develops and manufactures active pharmaceutical ingredients (APIs) and
formulations. Its APIs include allylestrenol, dextropropoxyphene HCL,
dextropropoxyphene
napsylate, disulfiram, thiopental sodium, thiopental acid,
tolnaftate, and sildenafil citrate, as well as metformin HCL, BP, USP, and EP.
The company also offers formulations for various therapeutic categories, such
as anabolic steroids, analgesics, anesthetics, anti-allergic, anti-asthamatics,
anticholinergic agents, anti-convulsants, anti-diabetics, anti-diarrhoeals,
antiemetics,anti-epileptics, anti-fungal agents, anti-gout agents,
anti-inflammatory agents, anti-malarials, anti-nauseants, anti-protozoals,
anti-pyretic, antirheumatic drugs, anti-spasmodic agents, and anti-septic
agents. The company
sells its products under the Lycored, Maintane, Metadec, Metabol,Doxypal
DR, Parvon, and Indocap SR brand names through agents worldwide.It has an
equity base of just Rs.13.10 crore that is supported by huge reserve of around
Rs.77.11 crore. The promoters hold 70.26% while the investing public holds
29.74% stake in the company. Promoters increased
their stake by 1.09% between July-March 2019. JPL's share book value
works out to Rs.34.43. Its P/BV ratio stands at just 0.75x.For 9MFY19, it
posted profit after tax (PAT) of Rs.4.24 crore against loss of Rs.10.28 crore
in 9MFY18 on 36.71% higher sales of Rs.128.42 crore fetching an EPS of Rs.1.62.
Currently, the stock trades at 24% discount to its 52-week
high of Rs.34.95 recorded in September 2018.
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