J B Chemicals and Pharmaceuticals Research Report By CD Equisearch

The stock currently trades at 19.8x FY16e EPS of Rs.14.04 and 18.1x FY17e EPS of Rs.15.35. Given, strong sales growth in domestic formulations market, sturdy rise in operating margins and healthy liquidity position, we retain our buy rating on the stock for the target price of Rs 353 (previous target of Rs 333) implying 23x FY17e earnings (peg ratio of 2), over the next 9-12 months. For more information, please refer to our earlier report dated July 20, 2015.