2 SUVEN share price target reports by brokerages below. See what is analyst's view on SUVEN share price forecast, rating, estimates, valuation and prediction behind the target. You may use these research report forecasts for long-term to medium term for your investment or trades in 2020.
As mentioned in our report dated November 21, 2019, the total NCE value assigned was Rs 76, of which Rs 54 was from SUVN-502. Post the failure of SUVN 502, we have deduced this amount as the potential of out-licensing is out of picture. Thus we arrive at our revised target price of Rs 391 (vs. earlier target price of Rs 445), valuing the stock at 19x FY22E EPS of Rs.19.4 arriving at price of Rs.369 (for base business). We have added the value of other 3 molecules put together at Rs 22.
Suven is currently trading at a 1 year forward P/E of 16x. Considering the improving operational efficiency we foresee stable EBITDA margin to remain higher and forecast PAT to grow at 17% each for both FY20 and FY21. We upgrade the rating to ‘Buy’ from ‘Hold’ on a multiple of 18x with a revised target price of Rs 303.
We forecast sales and PAT to grow at a CAGR of 12% and 11% resp. (FY19-21E) and increase revenue estimate by ~4%&5% resp. for FY20/21. Considering the low momentum in sales & PAT growth we downgrade the rating to ‘Hold’ from‘Buy’ on a multiple of 20x with a revised target price of Rs291.
SOURCE: Data from D'Market via Quandl. Intraday data delayed 15 minutes.
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