Indian Stock Picks

NSE:AARTIDRUGS
BSE:ADRG
URL:http://www.aartidrugs.com/
CMP: Rs.70.40
Recommended Price: The stock can be bought at current market levels.
Price Target: Rs. 90

Aarti Drugs Ltd (ADL) was established way back in in 1984. The Company has established a strong presence in the Anti-diarrhea, Anti-inflammatory therapeutic groups. With its manufacturing facilities at Tarapur and Sarigam, the Company manufactures Vitamins, Anti-arthritis, Anti-fungal, Antibiotics, ACE inhibitors, besides its range in , anti-diabetic, anti-cholinergic, sedatives and anti-depressant drugs.
The manufacturing-units of ADL are GMP certified. The Company is also in the process of acquiring an ISO 9002 compliance for all its units and one of the units has already been approved.
The Company aims at becoming the first choice of this expanding market through better products, ensuring quality and timely delivery.

Business Interest:

• ADL can be looked at as a reliable source of Generic Bulk Actives, Advanced Intermediates and Specialty Chemicals.
• R& D and Cost Effective Process Development are customized as per the customer’s needs.
• Scale-up of Customer’s Processes to manufacture products as per customers’ requirements in strictest confidence.
• Focus on the latest fast-moving bulk actives being off-patented in near future.

Products under Development:
The company is currently developing a few AntiHypertensive, AntiConvulsants, AntiTranquilizers, AntiInflamatories, AntiPsychotics and AntiFungals.

Company Financial Details:
The company has been posting modest gains since the last 4 years. The profit has been on a slow yet steady gains. The company EPS lies at 10.90 for the yearended March 31st, 2007. The gross profit for the quarter ended in Jun '07 was 7.49 Crores. An increase of 44% QoQ.

The company has been declaring dividends in the range of 12-18% over the last 4 years. The last dividend declared was 12%.

By far the company is fairly stable and ready to make the mark on the stock exchange soon.