GNFC Q2 very strong, but not right to value just on earnings, given the upcycle. The good is that it is trading at book value, ~455Rs, if we add Q3/Fy22profit. It remains difficult to put a no for the new normal for ebitda, though base case would be 1000-1200crs of ebitda, and approx 3000crs cash. Stock still remains in value zone. Possible that nos remain strong for more time, as TDI key manufacturing locations are China and Germany (potential disruption owing to higher gas px). China pricing policy as seen in multiple categories has changed. GNFC is an import substitue theme, as both it is the only domestic manufacturers for its important products (TDI and Acetic acid).
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