Here are all the analyst Recommendations of
Eris Lifesciences IPO. Keep checking as we keep updating the reports as more analysts release the same exclusively to us.
IIFL Wealth Management Analysts said,
Though Eris commands a mere 0.7% of the domestic market share, it competes with the likes of Lupin, Glenmark in cardio and diabetes prescription by virtue of its niche focus. Eris posted 16.5% revenue and 43% PAT CAGR over FY13‐17 with impressive RoEs. The IPO is priced at a 34x trailing PE, a valuation in line with those of MNC pharma and ahead of domestic players like Alkem Labs.
ICICI Direct Analysts Siddhant Khandekar, Mitesh Shah and Harshal Mehta said,
At the upper band of Rs 603, the stock is available at 34.3x FY17 EPS of | 17.6. We have assigned SUBSCRIBE recommendation to the issue based on management dynamism, robust financial performance, healthy return ratios, leverage free balance sheet and strong free cash flows. A superior business and financial matrix justify the premium valuation.
Angel Broking Analyst Shrikant Akolkar said,
While most pharma companies are currently facing issues on several fronts, this business model looks attractive with no USFDA concerns and pricing pressure. Considering the company’s superior growth, better margin profile and high return ratios, we rate this IPO as SUBSCRIBE.
SMC Global has given a 2/5 Rating for the IPO
Gupta Equities has the following Recommendation,
Eris Lifesciences Ltd stands to gain from operating leverage. At a P/E of 34.24x of FY17 EPS. We believe that it demands a discount to its domestic peers. We assign a Subscribe rating to the IPO.
BP Wealth has the following Review,
On the global front, since Eris Lifesciences has no revenue from exports it is safe from any USFDA issues. At the upper band price of Rs. 603 per share, the PE multiple as per the FY17 earnings is 34x and an EV/EBITDA multiple of 28x. Taking into consideration the above factors, we give a SUBSCRIBE rating for Eris Lifesciences with a long term perspective.
Chaturya Agarwal of IDBI Capital said,
Return rations are good for Eris and with focus in the domestic market which is poised to grow at 12-15% CAGR over 2016-20E we feel growth in the ERIS is not a concern. However, the impact of newer acquisitions plan in terms of value and quality will have to be seen, also inspite of being a strong player, we feel it is expensive. SUBSCRIBE RATING
Motilal Oswal Said
At upper price band of INR603, the issue is available at 34x FY17 EPS which is at par with other listed players. We remain positive on the company and we believe it deserves premium valuation as 1) it is high growth story led by significant focus on lifestyle related disorders, 2) significantly higher margins, 3) debt free status and 4) superior return profile of 45%+ both ROEs and ROCEs. Hence we recommend to SUBSCRIBE for long term investment.
SSJ Finance said,
We believe that the IPO is priced at a substantial premium to its peers but since company has a very good track record we recommend to Subscribe for long term investment.
