Morgan Stanley warns: SRF, Navin Fluorine earnings at risk from refrigerant price drop

• Morgan Stanley reiterates 'Underweight' rating on Navin Fluorine and SRF due to refrigerant price pressure.
• India's R-32 footprint expected to double, leading to a 25% decline in R-32 prices from last year's peaks.
• Refrigerant gases constitute nearly one-third of earnings for both companies, making them vulnerable to price volatility.
• A $1 per kg reduction in margins could impact EPS by 8% to 13% for SRF and Navin Fluorine.
• Despite brokerage caution, analyst sentiment remains largely positive for both stocks.