Thread by @VolVolatTrader

A Thread on #Laurus Labs as Promised
#Technicals - To time the entry and Price
Laurus Labs Currently near Support zones .
620 in my view is a strong support
Showing Buying Volumes since yesterday !

#Fundamentals

Laurus labs is into API , Formulations , Bio Synthesis and CDMO Bussiness

API Bussiness leader #Divis Labs - Only API . No formulations - PE Rating 66
Lowest Cost producer

#Laurus Labs - Into API and formulations . One among the lowest cost producer

Current PE - 33 Price 662 .

#Syngene - CRAMS and CDMO - Means mostly does work for other Multinational Companies . PE Rating 62

#Sun Pharma - Formulation Major - PE 33

Now looking at the others and #Laurus Labs there are some outstanding Numbers to see

ROCE - 40% ROE- 45%
OPM% - 32%

None other than this have such high Numbers . Also expansion is going on and sales growth is certain . Why ?

#DivisLabs - API Major guides 3X sales in coming years for such high Base then definitely a low base company will also increase

Infact at a faster rate than #Divis

CDMO bussiness major - #Syngene also guides strong revenue growth .

When #Laurus Does all the above a median PE Rating of 45-50 is Expected to Kick in .
With Sales growth that will grow like a Bazooka . Both Combined should do a Killing

What seems Extended is often not extended ! - Major Trends in Industry happen for Years not Months

So for Such a High Quality Company and Doing a right Entry Close to support adds more Value .

Last quarter Average Number gives me more Confidence for a good Jump Next Quarter

Market loves change a 25% QOQ Jump will we well taken in.

Same Happened after other #Chemical Major gave Excellent Result Jump after a Average Quarter

OPM% is at a constant Increase . This is called Operating Margin Expansion . With sales also Increasing This is a killer Combination

Hope you saw how Margin Expansion with Sales Expansion made #BalajiAmines Fire to Skies ..

After doing so much if I go wrong what happens .

Nothing Much Currently 6% allocation will Push to 10% Soon .

7% SL on 10% Allocation kicks my PF down by 0.7%

No Harm giving a try for such small Risk . Upside is Blue Skies No boundary looking at the Aspects

I would be overwhelmed if you could share and Retweet this as it would encourage me to write more .

A feeling of satisfaction that someone is reading what i wrote sitting for some of my time !

#LaurusBio Update ..

Cultured Meat recombinant proteins are made at the right cost not at pharma grade cost ..

Should reflect in the Numbers