Like Granules India with a target at Rs 175 in a year: Vikas Sethi

In a chat with ET Now, Vikas Sethi, MD, Sethi Finmart, says the company would continue to grow at a CAGR of around 25 per cent for its revenues and 30 per cent on its net profit for the next three to four year

ET Now: Granules India is an interesting stock. Why does the stock stand out and what kind of earnings are you expecting?

Vikas Sethi: Granules India again is a fundamentally solid, very good company. It is a strong pharma company with presence across the entire manufacturing value chain from APIs to formulations to finished dosages. This company is a preferred integrated supplier for global MNC pharma companies. This company has had an impressive track record and if you look at its balance sheet, it is pretty healthy. The margins are pretty high, it enjoys pretty good return ratios. The company in my opinion would continue to grow at a CAGR of around 25 per cent for its revenues and 30 per cent on its net profit for the next three to four years. So like this stock at the current levels after the correction which it has seen from its highs and my target would be Rs 175 in a year.