Buy Ipca Laboratories, target price Rs 1,774: Dharmesh Shah

Dharmesh Shah of ICICI Direct has a buy call on Ipca Laboratories Ltd. with a target price of Rs 1774.0. The current price of Ipca Laboratories Ltd. is Rs 1681.05 Time period given by the analyst is Intra Day when Ipca Laboratories Ltd. price can reach defined target. .Dharmesh Shah recommended to keep a stoploss at Rs 1625 .

Ipca Laboratories Ltd., incorporated in 1949, has a market cap of Rs 21254.95 crore.

Investment Rationale


Price breakout from the last 10 weeks'triangular consolidation pattern and MACD in striong uptrend.

Quarterly Results

Source: ET.com

Financials

For the quarter ended March 31, 2020, the company reported consolidated sales of Rs 1073.76 crore, down -11.47 per cent from last quarter sales of Rs 1212.86 crore and up 22.07 per cent from last year's same quarter sales of Rs 879.61 crore. The company reported net profit after tax of Rs 85.38 crore in the latest quarter.

Promoter/FII Holdings

Promoters held 46.07 per cent stake in the company as of March 31, 2020, while FIIs held 12.64 per cent, DIIs 26.72 per cent and public and others 14.56 per cent.