Accumulate Cadila Healthcare for target of Rs 350: Angel

MUMBAI: Angel Broking has recommended accumulating shares of Cadila Healthcare in its results preview analysis.

���Cadila Healthcare is expected to announce its 4QFY2009 results. We expect the company to clock 28.7% yoy increase in Net Sales to Rs704.1cr mainly aided by 45% growth on the Exports front. On the Operating front, Margins are expected to contract by 150bp to 16.3% owing to higher Employee costs and other expenses. We expect net profit to register a lackluster 2.8% growth to Rs 53.4 crore on account of higher interest cost. For FY2009, net sales is expected to increase by 26.4% to Rs 2,864 crore and operating margin to expand marginally by 70bp to 18.4%. Net profit is expected to grow by 17.8%t to Rs303.5cr. We recommend Accumulate on the stock with a target price of Rs 350 per share,��� the report says.