Neogen Q4 Review: A Compelling Medium Term Structural Growth Story, Says IDBI Capital; Sees 87% Upside

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

IDBI Capital Report

Neogen Chemicals Ltd. delivered a fair financial performance in the quarter. The performance was led by higher volumes across various product categories. Revenue for Organic chemicals segment grew by 7% YoY while the revenue for the inorganic chemicals segment declined by 30% YoY taking into account the lower prices of bromine and lithium in the quarter.

The quarter also saw an exceptional loss of Rs 141 million owing to the fire impact at the MPP plant in Dahej. We are sanguine on the company’s progress on the battery chemical front with strong capex plans coupled with a top notch technology partner in the form of MUIS.

We have pruned our estimates owing to the lowering of management revenue guidance owing to the fire impact.

We maintain our Buy rating on the stock with March 2026 target price of Rs 2,871 at 45 times FY28E expected earnings.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.