Breaking Ground: Chemical company signs a new LOI to manufacture advanced intermediate!

The stock is up by 10 per cent in 1 month and over 16 per cent in 6 months.

Chemplast Sanmar Limited informed that the Custom Manufactured Chemicals Division of the company of recently signed a letter of intent (LOI) with a global agrochemical innovator to manufacture an advanced intermediate.  

The Custom Manufactured Chemicals Division manufactures advanced intermediates for agrochemical, pharmaceutical and fine chemical innovators. Led by a qualified team of chemists and engineers, the division has invested in state-of-the-art production blocks, Pilot and R&D facilities to handle a wide range of chemistries and processes.  

On Friday, shares of Chemplast Sanmar plunged 2 per cent to Rs 445.90 per share from its previous closing of Rs 455 per share. The stock has a 52-week high of Rs 543.90 and a 52-week low of Rs 342 per cent.   

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Chemplast Sanmar Ltd is a major manufacturer of speciality chemicals such as speciality paste PVC resin and custom-manufactured chemicals for the agrochemical, pharmaceutical and fine chemicals sectors.  

Talking about the financials, this chemical sector company has a market cap of over Rs 7,000 crore. The sales increased by 55 per cent and the net profit increased by 59 per cent in FY22 over FY21.   

The stock has a ROE of 50 per cent and a ROCE of 52 per cent. The stock is up by 10 per cent in 1 month and over 16 per cent in 6 months. Investors should keep an eye on this mid-cap stock.