UPL is a leading global manufacturer of crop protection products. UPL has a wide product portfolio consisting of herbicides, fungicides, insecticides & plant growth regulators. UPL markets its products in 120 countries through 74 subsidiaries. UPL has a full agri-input value chain from seeds to post-harvest chemicals. Further, the merger with Advanta will help UPL to expand its product portfolio. Importantly, exports account for 80% of UPL’s revenue.
View and Valuation
We expect UPL revenue and PAT to grow at a CAGR of 12.5 & 17.9% respectively over FY16-18E. Further, EBITDA margins are expected to improve by 90bps on account of key launches and backward integration. Hence, we initiate UPL with a BUY rating with a TP of Rs.623 based on 14x FY18E EPS.
- Discontinuation of the Systematic Investment Plan (SIP) of the Designated Schemes of MOMF
- Change in Maximum Subscription Amount of Aditya Birla Sun Life Medium Term Plan
Wealth Conversations – December 2024
Are Arbitrage Funds right for you?- Introduction Of Daily, Weekly Frequency In Sip And Changes In Default Sip Date And Minimum Investment Amount For The Groww Mutual Funds
