Navin Fluorine shares jump 14%, most since March 2020, after strong Q2; Check price targets

Shares of Navin Fluorine Ltd. are trading with gains of nearly 14% in response to its results. This is the best single-day gain for the stock since March 2020.

The company reported revenue growth of 46% from last year to ₹758 crore, while Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) more than doubled year-on-year. Margins have expanded by 12 percentage points to 32.4% from 20.8%.

Revenue from the company's High Performance Products (HPP) business increased by 38% from last year to ₹404 crore, while the specialty business grew by 35% to ₹219 crore. CDMO business of the company nearly doubled from the year-ago period to ₹134 crore.

The company in its earnings call highlighted that it expects margins to remain around 30% for the full financial year 2026 and that they have an upward bias on this metric for financial year 2027 as well.

Navin Fluorine expects a better second half across segments for the company and the CDMO business may see revenue of $100 million in financial year 2027.

Brokerages like UBS raised its price target to ₹5,900 with a "buy" rating, while Jefferies maintained its "buy" rating with a target of ₹6,635.

UBS believes that Navin Fluorine's focus on late-stage molecules and ongoing validation process with various companies will support steady growth for the CDMO business in the medium-term.

Jefferies also upgraded Navin Fluorine's financial year 2026 and 2027 EBITDA estimates by 13% and 14% respectively and expects its Earnings per Share (EPS) to grow at a Compounded Annual Growth Rate (CAGR) of 44% over financial year 2025-2028.

20 out of the 29 analysts covering Navin Fluorine have a "buy" rating on the stock, four say "hold", while five have a "sell" rating. The consensus estimates of price targets implies a potential upside of 1.5% from current levels.

Shares of Navin Fluorine are trading 13% higher on Friday at ₹5,615.7. The stock is up 70% so far in 2025.