Multibagger pharma stock under Rs 65 is in the green as the company launches its new product lines, PureCoat and UltraMod; Details inside!
From Rs 35.03 per share (52-week low) to Rs 62.49 per share, the stock is up by 78.4 per cent and gave multibagger returns of 115 per cent in 2 years.
Today, shares of Sigachi Industries gained 1.95 per cent to an intraday high of Rs 62.49 per share from its previous closing of Rs 61.29. The company has a market cap of over Rs 2,000 crore and has delivered good profit growth of 25 per cent CAGR over the last 5 years.
Sigachi Industries, a pharmaceutical leader, has launched PureCoat and UltraMod - innovative film coatings and polymer blends. These cutting-edge solutions aim to enhance drug delivery, improve patient compliance, and boost overall product efficacy. The global pharmaceutical coatings market, valued at USD 1.01 billion in 2023, is projected to reach USD 1.62 billion by 2031, with a CAGR of 6.1 per cent. Sigachi's new products target this growing market, leveraging its pharmaceutical expertise and advanced manufacturing capabilities to address challenges like drug stability and bioavailability.
India’s pharmaceutical coatings market is estimated at 45,000 to 50,000 MT, a portion of the global market where India contributes around 15 per cent. Sigachi aims for a 16-18 per cent share of the Indian market, valued at approximately USD 202 million, within three years. PureCoat and UltraMod expand Sigachi’s product range beyond its core cellulose excipients, offering customers a comprehensive solution. The company expects these innovations to revolutionize the coatings industry and benefit both customers and patients.
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About the Company
Sigachi Industries Limited, publicly listed in NSE and BSE, is a globally recognized pharmaceutical company known for its unwavering commitment to delivering high-quality excipients, vitamin mineral nutrient blends, APIs, and O&M services. With over 33 years of industry experience, Sigachi has emerged as a trusted partner for pharmaceutical and nutraceutical companies spread across 62 countries. The company's diverse product portfolio is manufactured in 5 multilocational facilities present in Telangana, Gujarat and Karnataka which hold global standard certifications. Being headquartered in Hyderabad, Sigachi Industries Limited has subsidiaries in the US and UAE.
The company announced positive Quarterly Results (Q1FY25) and annual results (FY24) for the financial year 2024. According to quarterly results, revenue increased by 13 per cent to Rs 95.71 crore, PBT increased by 11.5 per cent to Rs 16.39 crore and PAT increased by 17.3 per cent to Rs 12.76 crore in Q1FY25 compared to Q1FY24. In its annual results, revenue increased by 32.1 per cent to Rs 398.96 crore PBT increased by 28.1 per cent to Rs 69.77 crore and PAT increased by 31.5 per cent to Rs 57.27 crore in FY24 compared to FY23.
The company ex-traded the stock split of equity shares from Rs 10 to Re 1 on October 09, 2023. From Rs 35.03 per share (52-week low) to Rs 62.49 per share, the stock is up by 78.4 per cent and gave multibagger returns of 115 per cent in 2 years. Investors should keep an eye on this small-cap pharma stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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