Meghmani Organics Ltd. rewarded investors the most among stocks in the agrochemicals sector this year. Yet, the stock trades at relatively cheaper valuations compared to industry peers.
The stock rose more than 187 percent so far this year while trading at a 12-month blended forward price-to-equity of 9.65 times. That's a 57 percent discount to the industry average.
The company's revenue rose 25 percent in the first half of financial year 2017-18 led by robust sales in the agrochemicals and basic chemicals segments, outpacing the single digit-growth for the industry overall.
It expects double-digit demand growth in the agrochemicals and pigment business, Meghmani Organics told BloombergQuint in an interview. The company has earmarked a capital expenditure of Rs 540 crore in its basic chemicals business to expand caustic soda capacity.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
