India's Gulf Oil Lubricants hits record high; Systematix initiates coverage with "buy"
** Shares of automotive lubricants provider Gulf Oil Lubricants India GOLU.NS rise 5% to 1,486.50 rupees, hitting a record high
** Systematix Institutional Equities initiates coverage on GOLU with a "buy" rating and target price of 1,700 rupees, 14% higher than the current price
** Adds entry into electric vehicles charging and data center fluid space alongside acquisitions to aid co's long-term growth
** Estimates co's overall volumes including lubricants to continue to outpace industry with a 9.7% and 14.6% compound annual growth rate in rev and profit over FY 24-27
** Adds co gained 25% market share in AdBlue (diesel exhaust fluid) in the last three years where vols are expected to jump further aided by healthy growth in commercial vehicles sales volumes
** Views GOLU as a "strong investment case" due to its solid core vol growth, focus on premiumization and consistent profit margins
** Stock has more than doubled so far this year
Reporting by Dimpal Gulwani in Bengaluru
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