Great find. Looks definitely a ‘TURNAROUND’ story.
But their product concentration is just too much.
Amox, Ampi & Cephalexin.
All these are nearly 30 years old molecules with all of them being under Drug Price Control Act.
And believe me there may be minimum 20-30 more companies doing these products.
So as such no MOAT / Pricing power.
[Same thing applies to Natural Capsule - All the drugs that they are going to manufacture are steroids aka life saving drugs so all are under price control.]
Yes. Syschem can be a turnaround as being profitable from a loss making company. But can be a multibagger only if they start making some unique APIs.
My personal opinion.
Regards,
dr.vikas
Subscribe To Our Free Newsletter |