09-Nov-2026 08:30:58
JPM on Divis Labs ; OW, TP raised to Rs 12500
Strong 2QFY27, with revenue/EBITDA up 35%/76% YoY and beating consensus by 15%/33%, driven by custom synthesis (+54% YoY) on continued validation-batch supplies. What lies ahead is conversion of validation into commercialization across three dedicated programs (one nearing commercialization; two progressing over next few quarters subject to customer qualification & regulatory clearance) & peptides scaling as Divi’s adds multi-tonne capacity via multiple 3,000-litre SPPS reactors and targets a top-three integrated global position in peptides For context, largest player in peptides – WuXi Apptec – has >100KL peptide capacity & has targeted TIDES revenues of $2.5bn in CY26, underscoring size of the opportunity. Against this backdrop, raise our FY27–29 earnings forecasts by 18-30%