Credit rating agency, CRISIL has assigned fundamental grade of ‘4/5’ to Dhanuka Agritech, a branded pesticide manufacturer. The rating agency has also assigned valuation grade of ‘4/5’ to the company. CRISIL has indicated fair value of the company’s equity share at Rs 117 per share.
The fundamental grade indicates that the company’s fundamentals are superior driven by the company’s consistently robust financial performance. The valuation grade indicates that the current market price has an upside.
Further, the rating is based on the company’s extensive distribution network, diversified product portfolio, product pipeline, management experience and higher RoE than peers. The upbeat prospects of the domestic industry further support the grade.
Dhanuka Agritech is the umbrella company for the business of agro-chemicals, fertilizers, and seeds of Dhanuka Group. The company reaches out to more than 10 million farmers with its eco-friendly high quality crop care products. The Agri-Division has a pan-India presence through its marketing offices in all major states in India.