Motilal Oswal
Target: ₹865
CMP: ₹711.75
With its niche product offerings in Contrast Media and Pharmaceutical Intermediaries & API, Blue Jet Healthcare has been changing the way the healthcare industry caters to the therapeutic needs of patients around the globe.
The company has established itself as a reliable supplier to its customers for the past three decades and is now working toward moving up the value chain by significantly increasing its investment in R&D.
Blue Jet’s revenue growth will be driven by new products in iodinated and gadolinium contrast media, NCE intermediates, and a high-intensity sweetener variant. The PI/API segment is also set for strong growth, with ramp up in supplies for Esperion’s Bempedoic acid in coming quarters.
The company also recently commissioned Plant 6 at Unit 2 (Ambernath) with an investment of ₹90 crore, adding 120KL capacity for PI and contrast media. It also started a cardiovascular PI production in mid-Sep’24, expanded R&D into advanced platforms, and bolstered talent for CDMO growth.
We expect a CAGR of 27/24/19 per cent in revenue/EBITDA/PAT during FY25-27E, with an expected average EBITDAM of 35.1 per cent during FY25-27E. We expect average RoE/RoCE of about 28/26 per cent during FY25-27E with an average fixed asset turnover of 3.1x.
Published on April 30, 2025
