1. PIDILITE INDUSTRIES LTD.
Pidilite Industries Limited is the largest adhesive manufacturer in India. It also has world wide
presence in adhesives, art material, construction chemicals and other industrial chemicals. Pidilite's
most famous product is the Fevicol range of adhesives. Its other famous brands are “Fevikwik", Dr.
Fixit, Cyclo, Ranipal, Hobby Ideas, M-seal and Acron.
Pidilite's corporate office is located in Andheri (East), Mumbai. The company has manufacturing
facilities at various locations in India, including Mahad (Maharastra), Vapi (Gujarat) Baddi (Himachal
Pradesh) and Kala Amb (Himachal Pradesh). It also makes Fevi Kwik India's first ever One Drop
Instant Adhesive. This brand is the most popular Instant Adhesive In South Asian countries.
The company was founded in 1959. Fevicol, the largest selling brand of adhesives in India, has
added another feather in its cap with the roll out of ‘Fevicol SH Xtra’. Fevicol SH Xtra is an improved,
new generation variant of Fevicol SH, the flagship brand under Pidilite industries. Fevicol SH Xtra
will be launched in Hyderabad initially, followed by country wide launch in phased manner.
Technical Outlook
Pictorially, we can see that pidilite industry is in structural bull trend. Despite of strong fall in overall
market, stock has swum against the tide. It shows that relative strength of stock against broader
market is very strong.
From technical dimension, it has given positive breakout of its triangle formation. In past couple of
trading weeks bolstering rise in volume has been observed. Recent volume behavior indicates bulls
are again back to business after a prolonged consolidation.
On daily chart, stock has taken support at its long term 250 days moving average and decisively
crossed its short term average as well.
As we can see on chart, a momentum indicator has moved above its average line and breached its
falling trend line. It indicates the presence of enthusiastic buyer.
Gathering all the evidences from different time frames and technical tools, stock offers potential
buying opportunity at current level with upside upto 680 level in few trading session.
Company PIDILITIND
Recommendation Buy
Sector : Chemicals
CMP : 596 & Upto 580
Price Potential : 680
Stop Loss (Closing Basis): 555
Mkt Cap (Rs. Cr.): 30,589
TTM EPS (Rs.) 12.98
TTM Sales (Rs. Cr.) 4,589
BVPS (Rs.) 57.32
Reserves (Rs. Cr.) 2,887
P/BV 10.41
PE 45.98
Bloomberg Code : PIDI.IN
Reuters Code : PIDI.BO
TW = Twelve Months
TTM= Trailing 12 months
SEBI Registered – Research Analyst Equities I Commodities I Currencies I Mutual Funds
Pick of the Week: PIDILITE INDUSTRIES LTD.
06th Feb, 2016
www.choiceindia.com *Please Refer Disclaimer on Website
2. Pick of the Week: PIDILITE INDUSTRIES LTD.
06th Feb, 2016
SEBI Certified – Research Analyst Equities I Commodities I Currencies I Mutual FundsSEBI Registered – Research Analyst Equities I Commodities I Currencies I Mutual Funds
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person from any inadvertent error in the information contained in this recommendation or any action taken on basis of this information. Technical analysis studies Aprilket psychology, price patterns and volume levels. It is used to forecast future price
and Aprilket movements. Technical analysis is complementary to fundamental analysis and news sources. The recommendations issued herewith might be contrary to recommendations issued by Choice Broking in the company research undertaken as
the recommendations stated in this report is derived purely from technical analysis. Choice Broking has based this document on information obtained from sources it believes to be reliable but which it has not independently verified; Choice Broking
makes no guarantee, representation or warranty and accepts no responsibility or liability as to its accuracy or completeness. The opinions contained within the report are based upon publicly available information at the time of publication and are
subject to change without notice. The information and any disclosures provided herein are in sumAprily form and have been prepared for informational purposes. The recommendations and suggested price levels are intended purely for trading
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is no guarantee against the loss of your entire investment.
POTENTIAL CONFLICT OF INTEREST DISCLOSURE (as on date of report) Disclosure of interest statement – • Analyst interest of the stock /Instrument(s): - No. • Firm interest of the stock / Instrument (s): - No.
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Kunal Pamar (Research Associate)
kunal.pamar@choiceindia.com
PERFORMANCE TRACKER
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Kapil Shah(Research Associate)
kapil.shah@choiceindia.com
Amit Pathania (Research Associate)
amit.pathania@choiceindia.com
Vikash Chaudhri (Research Associate)
vikas.chaudhari@choiceindia.com
Kunal Parmar
Digitally signed by Kunal Parmar
DN: cn=Kunal Parmar, o=Choice Equity Broking Pvt Ltd.,
ou=Research Dept, email=kunal.parmar@choiceindia.com,
c=IN
Date: 2016.02.06 16:17:46 +05'30'
