Buy Syngene International, target price Rs 642 : HDFC Securities

HDFC Securities has buy call on Syngene International with a target price of Rs 642. The current market price of Syngene International is Rs 614.05. HDFC Securities recommended to keep stoploss at Rs 595.

Syngene International, incorporated in the year 1993, is a Mid Cap company (having a market cap of Rs 24599.91 Crore) operating in Pharmaceuticals sector.

Syngene International key Products/Revenue Segments include Contract Research & Contract Manufacturing (CRAMS), Other Operating Revenue and Scrap for the year ending 31-Mar-2022.

Financials
For the quarter ended 30-09-2022, the company has reported a Consolidated Total Income of Rs 783.50 Crore, up 18.71 % from last quarter Total Income of Rs 660.00 Crore and up 25.74 % from last year same quarter Total Income of Rs 623.10 Crore. Company has reported net profit after tax of Rs 102.00 Crore in latest quarter.

The company’s top management includes Ms.Kiran Mazumdar Shaw, Mr.Jonathan Hunt, Prof.Catherine Rosenberg, Ms.Vinita Bali, Dr.Vijay Kuchroo, Dr.Carl Decicco, Ms.Sharmila Abhay Karve, Dr.Kush Parmar, Mr.Paul Blackburn. Company has B S R & Co. LLP as its auditors. As on 30-09-2022, the company has a total of 40 Crore shares outstanding.

Investment Rationale
Daily RSI is in an attempt of moving above 60 levels and volume has started to expand during upmove.

Promoter/FII Holdings
Promoters held 64.86 per cent stake in the company as of 30-Sep-2022, while FIIs owned 14.33 per cent, DIIs 6.74 per cent.