Abbott India - Rating – Hold; Target Price – Rs1,840 - Centrum

- We expect Abbott India (AIL) to report 7.8%YoY and 5.7%QoQ growth in revenues to Rs4.83bn.

- EBIDTA margin is set to decline by 240bps YoY to 13.9% from 16.3% due to the rise in personnel cost and other expenses.

- AIL's net profit is likely to decline by 8.4%YoY to Rs456mn from Rs498mn.

- The company's Thyronorm and Eptoin brands have gone under price control under NPPP.

- We have changed the rating from Buy to Hold with target price of Rs1,840 based on 17xDec'15 EPS of Rs108.2 due to its lower growth.

Source : Equity Bulls

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