Why Aether Industries shares declined over 7% today— Explained

livemint.com:

Aether Industries Share Price Today: Shares of Aether Industries declined over 7 per cent on Wednesday, November 29 after the chemical manufacturer announced that a fire broke out at its Surat facility in the morning hours today, leaving 25 people injured. No casulaties were reported. ‘’In accordance with Regulation 30 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, as amended from time to time, we hereby inform that an incident of fire was reported at Manufacturing Site of the Company at Plot No.

8203, GIDC Sachin, Surat, today early morning around 01:50 Hrs,'' said Aether Industries in a regulatory filing to the stock exchanges. ‘’Injuries of approximately 25 people has been reported. Though, no causalities have been reported.

Expected cause of loss / damage caused: Assessment is undergoing,'' added Aether Industries. On Wednesday, shares of Aether Industries opened at ₹872.25 and declined 6 per cent to hit an intra day low of ₹820.95 against a 52-week low of ₹811.10 on the BSE. Domestic brokerage firm JM Financials revised its target price on Aether Industries after the firm reported its July-September quarter results for fiscal 2023-24 (Q2FY24).

‘’To factor in 2QFY24 performance and a gradual recovery in realisation in the ensuing quarters, we cut our FY24/25/26 EBITDA EBITDA/EPS estimates by 9 per cent/4 per cent/4 per cent,'' said JM Financials. ‘’We maintain ‘buy’ with a revised Dec’24 TP of ₹1,130/share (vs. Sep’24 TP of ₹1,110/share) (based on 50x Dec’25E EPS) as we believe Aether’s chemistry-driven approach enables it to quickly develop new products or interchange existing products, giving it a distinct advantage.