New Delhi, Oct. 20 -- After strong returns in the last 6 months, domestic brokerage house Antique Stock Broking has initiated coverage on Neogen Chemicals with a Buy rating and a target price of Rs.3,050, implying an upside of around 23% from the reference market price of Rs.2,482.

The brokerage expects the specialty chemicals maker to enter a strong earnings growth phase as its battery chemicals business scales up, supported by domestic battery manufacturing, customer approvals and opportunities in non-Chinese supply chains.

"Neogen combines a resilient specialty chemicals business with a much larger battery opportunity. With plants largely built and customer qualifications underway, the key execution hurdles are behind us, while the e...