Jubilant Ingrevia
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
Jubilant Ingrevia is navigating a transformative phase under its 'Pinnacle' strategy, which emphasizes a shift from commodity-focused operations to high-margin specialty chemicals and contract development and manufacturing organization (CDMO) solutions. Management's confidence is bolstered by a robust pipeline and the commissioning of a new multi-purpose plant, expected to enhance production capabilities and support revenue growth. The company's focus on vertical integration and innovation is anticipated to mitigate commodity risks and drive margin expansion. Vista's financial outlook reflects an expected acceleration in revenue growth, with margins improving as the company capitalizes on its strategic initiatives. The anticipated EBITDA for FY27 is projected between INR 7.5-8.0 billion, supported by strong demand in the Nutrition and Chemical Intermediates segments. However, execution risks related to capacity expansion and competitive pricing pressures from Chinese suppliers remain key watchpoints. Overall, Jubilant Ingrevia is well-positioned for growth, with a target price of INR 975, reflecting a potential upside of approximately 43% over the next 12-24 months
Why We Like This Stock
- Successful commissioning of a new multi-purpose plant expected to enhance production capabilities
- Strong demand recovery in specialty segments, particularly in Nutrition and Chemical Intermediates
- Focus on higher-margin, innovation-led products and vertical integration to mitigate commodity risks
Things To Watch Out For
- Execution risks associated with capacity expansion and potential delays in ramping up CDMO operations
- Competitive pricing pressures from Chinese suppliers impacting margins in certain segments
- Limited visibility on new orders under key contracts, which could affect revenue stability
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 4,136 | 4,178 | 4,388 | 4,980 | 5,483 |
| Profit Before Tax (Cr.) | 274 | 344 | 383 | 471 | 518 |
| PBT Margin | 6.6% | 8.2% | 8.7% | 9.5% | 9.4% |
| Net Profit (Cr.) | 162 | 251 | 296 | 363 | 400 |
| Earnings Per Share | 10.3 | 15.9 | 18.7 | 23.0 | 25.3 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Axis Securities | ▲ Buy | 835 | 24-Sep-2026 |
| Kotak Securities | ▲ Buy | 1,010 | 23-Sep-2026 |
| Anand Rathi | ▲ Buy | 980 | 24-Jul-2026 |
| Prabhudas Liladhar | ► Hold | 711 | 24-Jul-2026 |
| Nuvama | ▲ Buy | 994 | 31-May-2026 |
| Choice Equity | ▲ Buy | 975 | 27-May-2026 |
Company Overview
Show Company Profile
Jubilant Ingrevia Limited engages in life science products and solutions in India, the United States, Europe, China and internationally. It operates in three segments, Specialty Chemicals, Nutrition & Health Solutions, and Chemical Intermediates. The Specialty Chemicals segment offers bio-pyridine and -picolines, fine chemicals, agro chemicals, custom development and manufacturing services, and microbial control solutions. The Nutrition & Health Solutions segment provides nutrition and health ingredients; and animal and human nutrition health solutions. The Chemical intermediates segment offers acetyls and specialty ethanol, such as acetic anhydride, bio acetic acid, bio-acetaldehyde, ethyl acetate, propionic anhydride, and formaldehyde. The company also provides vitamins, mineral premixes, stress regulator, amino acid, herbal choline, herbal non-antibiotic growth promoter and egg quality enhancer, toxin binder, acidifiers, and enzymes and emulsifiers. It serves pharmaceutical, nutrition, agrochemical, personal care, semiconductor, and industrial sectors. The company was formerly known as Jubilant LSI Limited and changed its name to Jubilant Ingrevia Limited in October 2020. Jubilant Ingrevia Limited was incorporated in 2019 and is headquartered in Noida, India.