MC Pro Ideas for Profit: Investors can book some profits in Ami Organics

Ami Organics had an impressive run post its initial public offering (IPO) and it fits into the theme of derisking the pharma supply chain as far as intermediate and key starting materials are concerned.

The company is one of the major manufacturers of pharma intermediates for certain key active pharmaceutical ingredients (APIs) related to therapeutic areas such as antiretroviral, psychotic, and oncologic. It supplies a few molecules to innovators for drugs that should help in better realisations going forward.

The PLI scheme for promotion of domestic manufacturing of medical devices has led to various capex announcements in the API space, which in turn has led to higher demand for intermediates and so we like this space on a long-term basis.