Pidilite Industries - Mulitbagger Trgt 900 2 yrs time frame

• Pidilite, incorporated in 1959, has been a pioneer in theConsumer and Specialities Chemicals in India. Pidilite Industries is the market leader inadhesives and sealants, construction chemicals, hobby colours and polymer emulsions in India.
• Its brand name Fevicol has become synonymous with adhesives to millions in Indiaand is ranked amongst the most trusted brands in India.Also pidilite has strong brands like Fevicol, Dr.Fixit, Fevi Kwik, m-seal,hobby ideas, moto max, Fevi stik etc.
• The company’s net sales and profit have grownat 10 year CAGR growth of 18% and 21% respectively. With Strong ROE of 26.9% and D/E ratio of 0.24, the fundamental of the company looks strong.
• Adding new products to strengthen its product line and growth
• Announcement of any positive development on Elastomer project will add a new positive trigger to the stock.
• At the CMP of INR 252, the stock discounts its FY13E EPS of INR7.6 by 28.9x and its FY14E EPS of INR9.5 by 22.4x. With Strong Brand Value, Consistent financial growth, Strong ROE and innovated product line, the prospect of the company looks bright.
• One can buy with Trgt 900 in 2 yrs time frame.