4QFY2016 Result Update | Pharmaceutical
June 10, 2016
Aurobindo Pharma
ACCUMULATE
CMP
`773
Performance Highlights
Target Price
`850
Y/E march (` cr)
4QFY16 3QFY16
% chg (QoQ) 4QFY15
% chg (yoy)
Investment Period
12 months
Net sales
3675
3432
7.1
3144
16.9
Other income
93
70
31.8
25
272.9
Stock Info
Operating profit
810
760
6.6
638
27.0
Sector
Pharmaceutical
Interest
21
23
(9.4)
23
(9.0)
Market Cap (` cr)
43,589
Adj. Net profit
562
525
7.0
403
39.2
Source: Company, Angel Research
Net debt (` cr)
3,265
Beta
1.1
Aurobindo Pharma (APL)’s results for 4QFY2016 have come in marginally lower
52 Week High / Low
892/582
than our expectations. Sales grew by 16.9% yoy to `3,675cr (vs `3,800cr
Avg. Daily Volume
166,432
expected), driven by formulations (which grew by 34.6% yoy; constitute ~79.5%
Face Value (`)
1
of sales). The key geographies in terms of formulations - US, Europe & ROW-
BSE Sensex
26,636
and the ARV segment posted a yoy growth of 24.3%, 32.2% and (-19.5%)
Nifty
8,170
respectively. The API on the other hand grew by 14.4% yoy. The OPM for the
Reuters Code
ARBN.BO
quarter stood at 22.1% (v/s 20.8% expected), ie a yoy expansion of 176bp. The Adj.
net profit came in at `562cr V/s `403cr in 4QFY2015, a yoy growth of 39.2%. We
Bloomberg Code
[email protected]
recommend an Accumulate rating on the stock.
Marginally lower than expected numbers: The company posted a revenue of
Shareholding Pattern (%)
`3,675cr for the quarter (v/s `3,800cr expected), ie a growth of 16.9% yoy. Sales
Promoters
53.8
grew by 16.9% yoy to `3,675cr (vs `3,800cr expected), driven by formulations
MF / Banks / Indian Fls
9.2
(which grew by 34.6% yoy; constitute ~79.5% of sales). The key geographies in
FII / NRIs / OCBs
27.9
terms of formulations - US, Europe & ROW- and the ARV segment posted a yoy
Indian Public / Others
9.1
growth of 24.3%, 32.2% and (-19.5%) respectively. The API on the other hand
grew by 14.4% yoy. The OPM for the quarter stood at 22.1% (v/s 20.8% expected), ie
Abs. (%)
3m 1yr
3yr
a yoy expansion of 176bp. The Adj. net profit came in at `562cr V/s `403cr in
4QFY2015, a yoy growth of 39.2%.
Sensex
8.2
(0.8)
37.0
Aurobindo
2.9
14.5
746.7
Outlook and valuation: We estimate the company’s net sales to log a 15.1%
CAGR over FY2016-18E to `18,078cr on back of US formulations, which will be
3-year daily price chart
supplemented through the recent acquisitions of the Western European
1,000
formulation businesses of Actavis and US’ Natrol. The acquisitions have also led
900
APL to become a
>~US$2bn sales company, with ~80% of sales being
800
700
accounted by formulations. We recommend an Accumulate on the stock.
600
500
Key financials (Consolidated)
400
300
Y/E March (` cr)
FY2015
FY2016
FY2017E
FY2018E
200
100
Net sales
12,043
13,651
15,720
18,078
0
% chg
49.8
13.3
15.2
15.0
Adj. Net profit
1,619
1,982
2,418
2,763
% chg
21.5
22.4
22.0
14.2
Source: Company, Angel Research
EPS (`)
27.7
33.9
41.4
47.3
EBITDA margin (%)
20.6
21.7
23.7
23.7
P/E (x)
27.9
22.8
18.7
16.3
RoE (%)
36.4
32.5
29.6
26.1
RoCE (%)
25.3
24.8
24.0
22.5
P/BV (x)
4.4
6.4
4.9
3.8
Sarabjit Kour Nangra
EV/Sales (x)
2.2
3.5
3.1
2.7
+91 22 3935 7800 Ext: 6806
EV/EBITDA (x)
10.5
16.4
13.1
11.3
[email protected]
Source: Company, Angel Research; Note: CMP as of June 7, 2016
Please refer to important disclosures at the end of this report
1
Aurobindo Pharma | 4QFY2016 Result Update
Exhibit 1: 4QFY2016 performance (Consolidated)
Y/E March (` cr)
4QFY2016
3QFY2016
% chg (qoq) 4QFY2015
% chg (yoy)
FY2016 FY2015
% chg (yoy)
Net sales
3,675
3,432
7.1
3,144
16.9
13,651
12,043
13.3
Other income
93
70
31.8
25
272.9
314
158
98.5
Total income
3,767
3,502
7.6
3,169
18.9
13,964
12,201
14.5
Gross profit
2,048
1,879
9.0
1,770
15.7
7,493
6,538
14.6
Gross margins
55.7
54.7
56.3
54.9
54.3
1.1
Operating profit
810
760
6.6
638
27.0
2,960
2,486
19.1
OPM (%)
22.1
22.1
20.3
21.7
20.6
Interest
21
23
(9.4)
23
(9.0)
159
84
89.0
Dep & amortisation
111
99
11.9
85
31.4
393
333
17.9
PBT
771
708
8.9
556
38.8
2,722
2,227
22.2
Provision for taxation
210
186
12.7
153
36.7
744
597
24.7
Net profit
561
522
7.6
402
39.6
1,978
1,630
21.4
Less : Exceptional items (gains)/loss
(1)
(13)
(0)
(4)
60
-
MI & share in associates
-
-
-
-
-
(5)
-
PAT after Exceptional items
563
535
5.2
404
39.4
1,982
1,576
25.8
Adjusted PAT
562
525
7.0
403
39.2
1,979
1,620
22.2
EPS (`)
9.6
9.0
6.9
33.9
27.7
Source: Company, Angel Research
Exhibit 2: Actual v/s Estimate
(` cr)
Actual
Estimate
Variation %
Net sales
3675
3800
(3.3)
Other operating income
92.6
60
55.4
Operating profit
810
887
(8.7)
Tax
210
162
29.3
Adj. Net profit
562
613
(8.4)
Source: Company, Angel Research
Revenue up 16.9% yoy; marginally lower than our expectation: The company
posted a sale of `3,675cr (V/s `3,800cr expected), a growth of 16.9% yoy. Sales
grew by 16.9% yoy to `3,675cr (V/s `3,800cr expected), driven by formulations
(which grew by 34.6% yoy; constitute ~79.5% of sales). The key geographies in
terms of formulations - US, Europe & ROW- and the ARV segment posted a yoy
growth of 24.3%, 32.2% and (19.5%) respectively. The API on the other hand grew
by 14.4% yoy.
In the formulation segment, the US (`1,666cr) posted a yoy growth of 24.3%,
while Europe & ROW (`1,016cr) posted a yoy growth of 32.2%. ARV (`328cr)
posted a yoy de-growth of 19.5%. Overall, formulations now contribute around
79.5% of sales, while APIs contribute the balance around 20.5%. As of end-March
2016, the company has 251 approved ANDAs including 36 tentative approvals.
June 13, 2016
2
Aurobindo Pharma | 4QFY2016 Result Update
Exhibit 3: Sales break-up (Consolidated)
(` cr)
4QFY2016
3QFY2016
% chg (qoq)
4QFY2015
% chg (yoy)
FY2016
FY2015
% chg
Formulations
3,011
2,681
12.3
2237
34.6
11,166
9,559
16.8
US
1,666
1,478
12.8
1341
24.3
6144
4832
27.2
Europe & ROW
1,016
932
9.0
769
32.2
3822
3763
1.6
ARV
328
271
21.3
408
(19.5)
1200
964
24.5
API
775
691
12.1
677
14.4
2,884
2,706
6.6
SSP
273
198
37.6
205
33.0
1366
864
58.1
Cephs
229
229
0.0
236
(2.8)
491
930
(47.2)
NPNC
273
264
3.4
236
15.5
1027
912
12.6
Source: Company, Angel Research
OPM expands to 22.1%: The OPM for the quarter stood at 22.1% (V/s 20.8%
expected), a yoy expansion of 176bp. The gross margin came in at 55.7% V/s
56.3% in 4QFY2015; however, on back of lower rise in employee costs
(+9.5% yoy) and other expenses (+9.1% yoy), the operating margin underwent an
expansion.
Exhibit 4: OPM Trend
23
22.1
22.1
22
22.0
21.8
21
20.3
20
4QFY2015
1QFY2016
2QFY2016
3QFY2016
4QFY2016
Source: Company, Angel Research
Net profit marginally lower than estimate: On the reported net profit front, the
company posted a net profit of `563cr, a yoy growth of 39.4%. The Adj. Net profit
came in at `562cr V/s `403cr in 4QFY2015, a yoy growth of 39.2%.
June 13, 2016
3
Aurobindo Pharma | 4QFY2016 Result Update
Exhibit 5: Adj. net profit
600
562
525
500
451
432
403
400
300
200
100
0
4QFY2015
1QFY2016
2QFY2016
3QFY2016
4QFY2016
Source: Company, Angel Research
Management takeaways
As of 4QFY2016 the company has filed 398 ANDAs, with 215 final approvals,
and 36 tentative approvals.
The company launched 28 products in the US during FY2016. It expects 30-
40 launches in FY2017.
The company plans to start filing oncology and hormonal products in the US
in the next four quarters while injectable filings are expected to be same as
FY2016.
For the Natrol business, the company guided for 15% yoy revenue growth with
margin expansion. Natrol’s current margins are higher than the company’s
consolidated margins. Natrol recorded revenue growth of ~15% in FY2016 to
US$110mn.
The R&D cost for 4QFY2016 was 4.3% of turnover at `160cr while for FY2016
it was 3.4% of turnover at `477cr. The company guided for 4-4.5% of R&D
spending in FY2017E.
Recommendation rationale
US and ARV formulation segments - the key drivers for base business: APL’s
business would primarily be driven by the US and ARV segments on the
formulation front. The company has been an aggressive filer in the US market
with 398 ANDAs filed until 4QFY2016. Amongst peers, APL has emerged as
one of the top ANDA filers. The company has aggressively filed ANDAs in the
last few years and is now geared to reap benefits, even though most of the
filings are for highly competitive products. Going ahead, with US$70bn going
off-patent in the US over the next three years, we believe APL is well placed to
tap this opportunity and is one of the largest generic suppliers. The company
enjoys high market share as it is fully integrated in all its products apart from
having a larger product basket. Also, the company plans to launch
18
injectables in the next 2 years, which would drive its growth and profitability.
The US revenue has grown at a CAGR of 31% over FY2009-2015 to
June 13, 2016
4
Aurobindo Pharma | 4QFY2016 Result Update
`4,832cr. Going forward, the US business of the company is expected to post
a CAGR of 15% over FY2016-18E.
Acquisitions to augment growth and improve sales mix: APL announced the
signing of a binding offer to acquire commercial operations in seven Western
European countries from Actavis. The net sales for the acquired businesses
were around EUR320mn in 2013 with a growth rate of over 10% yoy. With
this, the European sales of the company would now be ~EUR400mn.
Although these businesses are currently loss-making (by around EUR20mn),
APL expects them to return to profitability in combination with its vertically
integrated platform and existing commercial infrastructure.
The acquisition will make APL one of the leading Indian pharmaceutical
companies in Europe with a position in the top 10 in several key markets,
which it plans to leverage to supply or widen its product portfolio through
introduction of its own products, especially high margin products like
injectiables.
Also, in December 2014, Aurobindo USA, spent US$132.5mn to acquire the
assets of Natrol with an agreement to take on certain liabilities. With this
acquisition, the company gets an entry into the nutraceutical markets.
Aurobindo USA believes that Natrol is an excellent strategic fit and provides
the right platform for creating a fully-integrated OTC platform in the USA and
in other international markets. Natrol, which manufactures and sells nutritional
supplements in USA and other international market, provides Aurobindo with-
strong brand reputation and presence in a variety of attractive supplement
markets. Natrol has a proven performance in the mass market, health food
and specialty channels, and has existing long term relationships with key
distribution and retail partners. It addresses a broad range of consumers and
has an effective growth strategy to expand market penetration.
Outlook and valuation
We estimate the company’s net sales to log a 15.1% CAGR over FY2016-18E to
`18,078cr on the back of US on back of the largest product pipeline. This along
with the recent acquisitions of the Western European formulation businesses of
Actavis and US’ Natrol, will led APL to become a >~US$2bn sales company, with
~ 80% of sales being accounted by formulations. We maintain our Accumulate
rating on the stock.
Exhibit 6: Key assumptions
FY2017E
FY2018E
Sales Growth (%)
15.2
15.0
Operating Margins (%)
23.7
23.7
Capex (` cr)
800
800
Source: Company, Angel Research
June 13, 2016
5
Aurobindo Pharma | 4QFY2016 Result Update
Exhibit 7: One-year forward PE
1,000
900
800
700
600
500
400
300
200
100
0
5x
10x
15x
20x
Source: Company, Angel Research
Exhibit 8: Recommendation summary
Company
Reco
CMP Tgt. price Upside
FY2017E
FY15-17E
FY2017E
(`)
(`)
% PE (x) EV/Sales (x) EV/EBITDA (x) CAGR in EPS (%) RoCE (%) RoE (%)
Alembic Pharma
Neutral
557
-
-
29.8
3.0
18.2
11.4
22.0
20.1
Aurobindo Pharma Accumulate
773
850
10.0
18.7
3.1
13.1
6.9
24.0
29.6
Cadila Healthcare
Buy
320
400
25.0
18.7
2.9
13.2
22.9
24.2
28.8
Cipla
Neutral
469
-
-
21.6
2.7
15.3
4.9
11.1
13.7
Dr Reddy's
Accumulate
3,158
3,476
10.1
20.7
3.0
12.3
6.8
19.2
18.7
Dishman Pharma
Neutral
152
-
-
15.2
1.6
7.7
15.9
9.4
11.0
GSK Pharma
Neutral
3,515
-
-
58.4
8.1
43.0
0.0
33.0
29.9
Indoco Remedies
Neutral
282
-
-
20.7
2.2
12.4
23.0
19.7
19.7
Ipca labs
Buy
431
750
74.0
15.4
1.6
8.8
17.9
11.8
14.9
Lupin
Buy
1,435
1,809
26.1
24.7
4.1
15.6
13.1
29.6
24.7
Sanofi India*
Accumulate
4,300
4,738
10.2
28.0
3.9
22.3
34.2
21.0
25.6
Sun Pharma
Buy
739
950
28.6
26.4
5.4
17.9
10.5
17.7
18.7
Source: Company, Angel Research; Note: *December year ending
June 13, 2016
6
Aurobindo Pharma | 4QFY2016 Result Update
Company background
Aurobindo Pharma manufactures generic pharmaceuticals and APIs. The
company’s manufacturing facilities are approved by several leading regulatory
agencies like the USFDA, UK MHRA, WHO, Health Canada, MCC South Africa
and ANVISA Brazil among others. The company’s robust product portfolio is
spread over six major therapeutic/product areas encompassing antibiotics,
antiretrovirals, CVS, CNS, gastroenterological, and anti-allergics. The company
has acquired the generic business of Actavis which has made it a US$2bn
company, and a leading company in Europe. With this acquisition, formulations
now contribute around 80% to the company’s sales (as in FY2015).
June 13, 2016
7
Aurobindo Pharma | 4QFY2016 Result Update
Profit & loss statement (Consolidated)
Y/E March (` cr)
FY2013
FY2014
FY2015
FY2016
FY2017E FY2018E
Gross sales
5,863
8,198
12,221
13,878
15,959
18,353
Less: Excise duty
80
159
178
227
239
275
Net Sales
5,783
8,038
12,043
13,651
15,720
18,078
Other operating income
72
61
77
245
245
245
Total operating income
5,855
8,100
12,121
13,896
15,965
18,323
% chg
26.5
38.3
49.6
14.6
14.9
14.8
Total Expenditure
4,966
5,968
9,557
10,691
12,001
13,802
Net Raw Materials
2,792
3,606
5,506
6,158
6,288
7,231
Other Mfg costs
578
804
1,204
1,365
1,572
1,808
Personnel
663
832
1,302
1,551
1,783
2,051
Other
932
726
1,545
1,617
2,358
2,712
EBITDA
817
2,071
2,486
2,960
3,718
4,276
% chg
53.2
153.5
20.1
19.1
25.6
15.0
(% of Net Sales)
14.1
25.8
20.6
21.7
23.7
23.7
Depreciation& Amortisation
249
313
333
393
532
588
EBIT
568
1,758
2,154
2,567
3,187
3,689
% chg
38.8
209.5
22.5
19.2
24.1
15.7
(% of Net Sales)
9.8
21.9
17.9
18.8
20.3
20.4
Interest & other Charges
131
108
84
159
192
220
Other Income
29
23
81
68
68
68
(% of PBT)
5.3
1.3
3.6
2.5
2.1
1.8
Share in profit of Associates
-
-
-
-
-
-
Recurring PBT
538
1,735
2,227
2,722
3,309
3,782
% chg
62.3
222.7
28.4
22.2
21.5
14.3
Extraordinary Expense/(Inc.)
163.4
203.1
59.6
-
-
-
PBT (reported)
374
1,532
2,168
2,722
3,309
3,782
Tax
82.7
363.5
596.6
744.4
893.4
1,021.2
(% of PBT)
22.1
23.7
27.5
27.3
27.0
27.0
PAT (reported)
291
1,168
1,571
1,978
2,416
2,761
Less: Minority interest (MI)
(2)
(4)
(5)
(4)
(3)
(2)
PAT after MI (reported)
294
1,172
1,576
1,982
2,418
2,763
ADJ. PAT
432
1,333
1,619
1,982
2,418
2,763
% chg
118.5
208.6
21.5
22.4
22.0
14.2
(% of Net Sales)
5.1
14.6
13.1
14.5
15.4
15.3
Basic EPS (`)
7.4
22.8
27.7
33.9
41.4
47.3
% chg
8.9
208.6
21.5
22.4
22.0
14.2
June 13, 2016
8
Aurobindo Pharma | 4QFY2016 Result Update
Balance sheet (Consolidated)
Y/E March (` cr)
FY2013
FY2014
FY2015
FY2016
FY2017E
FY2018E
SOURCES OF FUNDS
Equity Share Capital
29
29
29
58
58
58
Share Application Money
-
-
-
-
-
-
Reserves & Surplus
2,577
3,721
5,127
6,998
9,246
11,838
Shareholders Funds
2,606
3,750
5,156
7,057
9,304
11,896
Minority Interest
11
26
26
60
57
55
Long-term provisions
9
9
24
24
24
24
Total Loans
3,384
3,769
3,864
4,076
5,500
5,500
Deferred Tax Liability
68
205
211
236
236
236
Total Liabilities
6,069
7,760
9,280
11,452
15,098
17,688
APPLICATION OF FUNDS
Gross Block
3,316
4,107
6,095
7,195
7,995
8,795
Less: Acc. Depreciation
1,140
1,461
1,794
2,187
2,718
3,306
Net Block
2,175
2,645
3,752
4,865
5,277
5,490
Capital Work-in-Progress
645
310
310
310
310
310
Goodwill
55
76
64
89
89
89
Investments
22
20
20
0
0
0
Long-term loans and adv.
243
789
486
434
434
436
Current Assets
4,128
5,631
8,279
10,001
12,249
15,113
Cash
208
179
469
834
2,089
2,275
Loans & Advances
332
789
692
784
409
1,625
Other
3,587
4,664
7,118
8,383
9,751
11,213
Current liabilities
1,200
1,730
3,634
4,247
3,261
3,750
Net Current Assets
2,928
3,901
4,645
5,755
8,988
11,363
Mis. Exp. not written off
-
18
5
-
-
-
Total Assets
6,069
7,760
9,280
11,452
15,098
17,688
June 13, 2016
9
Aurobindo Pharma | 4QFY2016 Result Update
Cash flow statement (Consolidated)
Y/E March (` cr)
FY2013
FY2014
FY2015
FY2016
FY2017E FY2018E
Profit before tax
374
1,532
2,168
2,722
3,309
3,782
Depreciation
249
313
333
393
532
588
(Inc)/Dec in Working Capital
(191)
(457)
(757)
(796)
(1,979)
(2,188)
Less: Other income
29
23
81
68
68
68
Direct taxes paid
(83)
(363)
(597)
(744)
(893)
(1,021)
Cash Flow from Operations
321
1,001
1,066
1,507
900
1,093
(Inc.)/Dec.in Fixed Assets
(283)
(455)
(1,989)
(1,100)
(800)
(800)
(Inc.)/Dec. in Investments
(16)
(2)
-
(20)
-
-
Other income
29
23
81
68
68
68
Cash Flow from Investing
(271)
(435)
(1,908)
(1,051)
(732)
(732)
Issue of Equity
-
-
-
-
-
-
Inc./(Dec.) in loans
288
385
94
213
1,424
-
Dividend Paid (Incl. Tax)
(17)
(102)
(171)
(171)
(171)
(171)
Others
(183)
(879)
1,209
(132)
(167)
(4)
Cash Flow from Financing
88
(596)
1,133
(90)
1,086
(175)
Inc./(Dec.) in Cash
138
(30)
291
365
1,255
186
Opening Cash balances
71
208
179
469
834
2,089
Closing Cash balances
208
179
469
834
2,089
2,275
June 13, 2016
10
Aurobindo Pharma | 4QFY2016 Result Update
Key ratios
Y/E March
FY2013
FY2014
FY2015
FY2016
FY2017E FY2018E
Valuation Ratio (x)
P/E (on FDEPS)
104.5
33.9
27.9
22.8
18.7
16.3
P/CEPS
41.5
15.2
11.8
19.0
15.3
13.5
P/BV
8.6
6.0
4.4
6.4
4.9
3.8
Dividend yield (%)
0.1
0.1
0.1
0.1
0.1
0.1
EV/Sales
4.4
3.2
2.2
3.5
3.1
2.7
EV/EBITDA
31.5
12.6
10.5
16.4
13.1
11.3
EV / Total Assets
4.2
3.4
2.8
4.2
3.2
2.7
Per Share Data (`)
EPS (Basic)
7.4
22.8
27.7
33.9
41.4
47.3
EPS (fully diluted)
7.4
22.8
27.7
33.9
41.4
47.3
Cash EPS
18.6
51.0
65.4
40.7
50.5
57.4
DPS
0.5
0.5
0.5
0.5
0.5
0.5
Book Value
89.5
128.8
176.6
120.8
159.3
203.7
Dupont Analysis
EBIT margin
9.8
21.9
17.9
18.8
20.3
20.4
Tax retention ratio
77.9
76.3
72.5
72.7
73.0
73.0
Asset turnover (x)
1.0
1.2
1.5
1.4
1.4
1.3
ROIC (Post-tax)
8.0
20.1
19.2
19.5
20.0
19.2
Cost of Debt (Post Tax)
3.2
2.3
1.6
2.9
2.9
2.9
Leverage (x)
1.3
1.1
0.8
0.6
0.4
0.3
Operating ROE
14.0
39.5
33.4
28.9
27.1
24.4
Returns (%)
ROCE (Pre-tax)
9.9
25.4
25.3
24.8
24.0
22.5
Angel ROIC (Pre-tax)
11.5
28.5
27.6
27.5
27.9
26.7
ROE
17.5
41.9
36.4
32.5
29.6
26.1
Turnover ratios (x)
Asset Turnover (Gross Block)
1.8
2.2
2.4
2.1
2.1
2.2
Inventory / Sales (days)
98
49
90
95
101
108
Receivables (days)
129
95
93
95
63
63
Payables (days)
78
73
114
119
81
81
WC cycle (ex-cash) (days)
159
145
119
119
135
159
Solvency ratios (x)
Net debt to equity
1.2
1.0
0.7
0.5
0.4
0.3
Net debt to EBITDA
3.9
1.7
1.4
1.1
0.9
0.8
Interest Coverage (EBIT / Int.)
4.3
16.3
25.5
16.2
16.6
16.8
June 13, 2016
11
Aurobindo Pharma | 4QFY2016 Result Update
Research Team Tel: 022 - 39357800
E-mail: [email protected]
Website: www.angelbroking.com
DISCLAIMER
Angel Broking Private Limited (hereinafter referred to as “Angel”) is a registered Member of National Stock Exchange of India Limited,
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CDSL and Portfolio Manager with SEBI. It also has registration with AMFI as a Mutual Fund Distributor. Angel Broking Private Limited is
a registered entity with SEBI for Research Analyst in terms of SEBI (Research Analyst) Regulations, 2014 vide registration number
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/dealing in securities Market. Angel or its associates including its relatives/analyst do not hold any financial interest/beneficial
ownership of more than 1% in the company covered by Analyst. Angel or its associates/analyst has not received any compensation /
managed or co-managed public offering of securities of the company covered by Analyst during the past twelve months. Angel/analyst
has not served as an officer, director or employee of company covered by Analyst and has not been engaged in market making activity
of the company covered by Analyst.
This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment
decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should
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the merits and risks of such an investment.
Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and
trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's
fundamentals.
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responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report.
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latest update on respective stocks for the disclosure status in respect of those stocks. Angel Broking Pvt. Limited and its affiliates may
have investment positions in the stocks recommended in this report.
Disclosure of Interest Statement
Aurobindo Pharma
1. Analyst ownership of the stock
No
2. Angel and its Group companies ownership of the stock
No
3. Angel and its Group companies' Directors ownership of the stock
No
4. Broking relationship with company covered
No
Note: We have not considered any Exposure below ` 1 lakh for Angel, its Group companies and Directors
Ratings (Based on expected returns
Buy (> 15%)
Accumulate (5% to 15%)
Neutral (-5 to 5%)
over 12 months investment period):
Reduce (-5% to -15%)
Sell (< -15)
June 13, 2016
12