The impact of coronavirus epidemic is being felt across markets, globally and over 1000 lives have been lost. The businesses have been impacted across sectors and speculations are rife that the situation will likely continue for some more time before it is fully brought under control. How will the markets in India be impacted and which stocks are likely to remain untouched is what every investor is thinking.

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A Zee Business exclusive research reveals one such stock that may not have an adverse impact because of the coronavirus outbreak.

Our exclusive research says that IPCA Laboratories will likely have no impact because of the coronavirus outbreak. The company has no dependence on China with regard to the raw material. So the investors can focus on the stock. Another important aspect is that the products made by IPCA Lab are not sold in China either. So there is no dependence on imports or exports in China.

IPCA lab is also one of the top companies in the Active pharmaceutical ingredient (API) segment. The company has over 350 formulations and manufactures 80 APIs in different categories. The company earns a 25% share of its revenues from the API segment.

The best part is that when the API manufacturers in China will start feeling the impact of Coronavirus, the Indian API companies including IPCA Lab are likely to benefit. Many industries have been facing a complete shutdown in China.  If the API companies are temporarily shut down in China, Indian companies manufacturing APIs across different categories will benefit on the exports front.

If the capacity utilization of the domestic companies is increased because of this, there will be a positive impact on the sales of Indian companies.  So the chances of IPCA Lab doing well are quite positive, going forward.

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IPCA lab shares are currently trading around Rs 1241.45 on the NSE on Tuesday.