Pidilite Industries expects the goods and services tax (GST) to benefit those in the organized sector, particularly after the e-way bill implementation. It should be noted that Pidilite Industries enjoys a dominant position in the adhesives market. Since GST implementation in July 2017, the Pidilite Industries stock has rallied around 47%, outperforming the Nifty 500 index, which surged 11% during the same period. VAM accounts for 35-40% of Pidilite Industries’ total raw material cost together with packaging. As for valuations, the Pidilite Industries’ stock is trading at a one-year forward price-to-earnings multiple of 54 times.

Source: Mint May 31, 2018 04:41 UTC