Dr. Reddy's Laboratories Valuation

Q: What is the Fair Price of R1DY34 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

R1DY34 (R$72.15) is trading above our estimate of [[fair value]] (R$39.67)

Is R1DY34 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of R1DY34 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: R1DY34 (R$72.15) is trading above our estimate of fair value (R$39.67)

Significantly Below Fair Value: R1DY34 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for R1DY34?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for R1DY34. This is calculated by dividing R1DY34's market cap by their current preferred multiple.
What is R1DY34's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	₹1.11t

R1DY34 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	3.6x
Enterprise Value/EBITDA	13.1x
PEG Ratio	-12.8x

Price to Earnings Ratio vs Peers

How does R1DY34's PE Ratio compare to its peers?

The above table shows the PE ratio for R1DY34 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	30.9x
HYPE3 Hypera	10x	12.9%	R$16.9b
OFSA3 Ouro Fino Saúde Animal Participações	20.4x	39.4%	R$1.1b
500420 Torrent Pharmaceuticals	67.8x	21.4%	₹1.2t
ZYDUSLIFE Zydus Lifesciences	25.5x	2.9%	₹1.1t
R1DY34 Dr. Reddy's Laboratories	19.9x	-1.6%	R$1.1t

Price-To-Earnings vs Peers: R1DY34 is good value based on its Price-To-Earnings Ratio (19.9x) compared to the peer average (30.9x).

Price to Earnings Ratio vs Industry

How does R1DY34's PE Ratio compare vs other companies in the Global Pharmaceuticals Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	19.4%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	19.4%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: R1DY34 is good value based on its Price-To-Earnings Ratio (19.9x) compared to the Global Pharmaceuticals industry average (24.4x).

Price to Earnings Ratio vs Fair Ratio

What is R1DY34's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

R1DY34 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	19.9x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate R1DY34's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.