Shaily Engineering Plastics Ltd.

Key Investment Thesis & Drivers 1. Niche Healthcare Capabilities (GLP-1 & Auto-Injectors) Shaily Engineering has established a distinctive competitive moat within the medical device sector. Patented Technology: UBS highlights Shaily as one of the few global players possessing patented technology for fixed-dose and auto-injector pens. GLP-1 Readiness: The company is strategically positioned to capture significant market share from the upcoming launch of generic GLP-1 products (a class of drugs used for diabetes and weight management), a high-growth segment in global pharma. 2. Strategic Diversification & New Client Acquisition Beyond healthcare, the company is aggressively expanding its footprint in high-value non-automotive sectors. Semiconductor & Electronics: Shaily is currently in advanced stages of onboarding a major global customer in the consumer electronics and semiconductor space. Operational Efficiency: UBS expects improved capacity utilization and stronger traction across both consumer and industrial business verticals. 3. Financial Projections (FY25 – FY28) The brokerage forecasts a period of hyper-growth for Shaily, driven by the scaling of its medical division and operational leverage. EPS Growth: UBS projects a massive 75% Compound Annual Growth Rate (CAGR) in Earnings Per Share (EPS) from FY25 through FY28. Upside Potential: The assigned price target of ₹4,000 implies a potential upside of over 60% from the previous closing price. 4. Macro-Economic Tailwinds Trade Relations: The company is well-positioned to benefit from a favorable India-US trade environment. Tariff Benefits: Potential tariff reductions in target export markets could further expand margins and volume growth. Market Performance Context YTD Performance: The stock has outperformed significantly, registering a 76% gain year-to-date in 2025.