Target of 700 for Zydus Wellness: Ganesh Shanbhag

ET Now spoke to Ganesh Shanbhag of SMS Financial Services on his views on stocks.

ET Now: Are you expecting more upside in Zydus Wellness?

Ganesh Shanbhag: I think it's a beautiful company if their sugar-free business performs well. Tomorrow, the company comes out with their quarter numbers and if you see the quarter numbers you see the last full year numbers. It's a zero-debt company with a top line of around 260 crore and PAT margin of around 20%.

The company is clearly saying that in 2 years time they expect a turnover of around 500 crore. That gives a PAT of around 100 crore on a zero debt company with a very strong dominant position in the sugar-free business. I think it's a great company to look out for the one year target price of Rs 700.