BSE:524164

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

IOL Chemicals and Pharmaceuticals

Executive Summary

IOL Chemicals and Pharmaceuticals Limited manufactures and sells bulk drugs, and organic and inorganic chemical compounds in India and internationally. More Details


Snowflake Analysis

Flawless balance sheet with solid track record.

Share Price & News

How has IOL Chemicals and Pharmaceuticals's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 524164's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.2%

524164

-1.0%

IN Pharmaceuticals

-0.2%

IN Market


1 Year Return

256.4%

524164

44.2%

IN Pharmaceuticals

0.2%

IN Market

Return vs Industry: 524164 exceeded the Indian Pharmaceuticals industry which returned 45.4% over the past year.

Return vs Market: 524164 exceeded the Indian Market which returned 0.9% over the past year.


Shareholder returns

524164IndustryMarket
7 Day-3.2%-1.0%-0.2%
30 Day-12.2%0.09%4.8%
90 Day-16.2%10.2%6.9%
1 Year261.8%256.4%46.1%44.2%2.0%0.2%
3 Year853.6%839.3%23.4%20.0%-2.4%-7.2%
5 Year734.6%722.1%0.2%-3.4%39.9%29.3%

Price Volatility Vs. Market

How volatile is IOL Chemicals and Pharmaceuticals's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is IOL Chemicals and Pharmaceuticals undervalued compared to its fair value and its price relative to the market?

35.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 524164 (₹655.65) is trading below our estimate of fair value (₹1009.14)

Significantly Below Fair Value: 524164 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 524164 is good value based on its PE Ratio (9.3x) compared to the IN Pharmaceuticals industry average (22.8x).

PE vs Market: 524164 is good value based on its PE Ratio (9.3x) compared to the Indian market (16.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 524164's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 524164 is overvalued based on its PB Ratio (4.6x) compared to the IN Pharmaceuticals industry average (2.2x).


Next Steps

Future Growth

How is IOL Chemicals and Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

27.2%

Forecasted Pharmaceuticals & Biotech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as IOL Chemicals and Pharmaceuticals has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has IOL Chemicals and Pharmaceuticals performed over the past 5 years?

78.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 524164 has high quality earnings.

Growing Profit Margin: 524164's current net profit margins (21.7%) are higher than last year (17%).


Past Earnings Growth Analysis

Earnings Trend: 524164 has become profitable over the past 5 years, growing earnings by 78.6% per year.

Accelerating Growth: 524164's earnings growth over the past year (30.9%) is below its 5-year average (78.6% per year).

Earnings vs Industry: 524164 earnings growth over the past year (30.9%) exceeded the Pharmaceuticals industry 14.7%.


Return on Equity

High ROE: 524164's Return on Equity (49.6%) is considered outstanding.


Next Steps

Financial Health

How is IOL Chemicals and Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: 524164's short term assets (₹6.7B) exceed its short term liabilities (₹2.8B).

Long Term Liabilities: 524164's short term assets (₹6.7B) exceed its long term liabilities (₹797.3M).


Debt to Equity History and Analysis

Debt Level: 524164's debt to equity ratio (6.9%) is considered satisfactory.

Reducing Debt: 524164's debt to equity ratio has reduced from 192.6% to 6.9% over the past 5 years.

Debt Coverage: 524164's debt is well covered by operating cash flow (842.4%).

Interest Coverage: 524164's interest payments on its debt are well covered by EBIT (37.8x coverage).


Balance Sheet


Next Steps

Dividend

What is IOL Chemicals and Pharmaceuticals's current dividend yield, its reliability and sustainability?

0.46%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 524164's dividend (0.46%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.56%).

High Dividend: 524164's dividend (0.46%) is low compared to the top 25% of dividend payers in the Indian market (2.29%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether 524164's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 524164's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (4.2%), 524164's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.4yrs

Average management tenure


CEO

Varinder Gupta (58 yo)

13.08yrs

Tenure

₹50,400,000

Compensation

Shri. Varinder Gupta has been Managing Director of IOL Chemicals and Pharmaceuticals Limited (also known as Industrial Organics Ltd.) since September 1, 2007 and was Chairman since November 14, 2018 until ...


CEO Compensation Analysis

Compensation vs Market: Varinder's total compensation ($USD681.67K) is above average for companies of similar size in the Indian market ($USD353.89K).

Compensation vs Earnings: Varinder's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Varinder Gupta
MD & Whole Time Director13.08yrs₹50.40m2.04%
₹ 797.2m
Vijay Garg
Joint MD & Whole Time Director7.58yrs₹31.50mno data
Pardeep Khanna
Chief Financial Officer5.17yrs₹8.60m0.012%
₹ 4.6m
Abhay Singh
Assistant VP0.92yr₹6.04mno data
Vikas Gupta
Executive Director5.42yrs₹12.60mno data
Gurupur Pai
Chief Technology Officerno datano datano data
Damandeep Singh
President of Projectno data₹780.00k0.019%
₹ 7.6m
Vijay Singla
President of Chemicalsno data₹3.80mno data
Jagdish Goel
President of API Businessno datano datano data
Kamlesh Ranbhan
President of R&Dno datano datano data
Kushal Rana
President of Quality Assuranceno datano datano data
Gopal Singla
President of Engineeringno datano datano data

5.4yrs

Average Tenure

50yo

Average Age

Experienced Management: 524164's management team is seasoned and experienced (5.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Varinder Gupta
MD & Whole Time Director13.08yrs₹50.40m2.04%
₹ 797.2m
Vijay Garg
Joint MD & Whole Time Director7.58yrs₹31.50mno data
Vikas Gupta
Executive Director5.42yrs₹12.60mno data
Rajender Malla
Independent Chairman of the Board1.67yrs₹200.00kno data
Harpal Singh
Independent Director1.67yrs₹275.00kno data
Sandhya Mehta
Independent Director6.17yrs₹375.00kno data

5.8yrs

Average Tenure

55yo

Average Age

Experienced Board: 524164's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.2%.


Top Shareholders

Company Information

IOL Chemicals and Pharmaceuticals Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: IOL Chemicals and Pharmaceuticals Limited
  • Ticker: 524164
  • Exchange: BSE
  • Founded: 1986
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹39.101b
  • Shares outstanding: 58.71m
  • Website: https://www.iolcp.com

Number of Employees


Location

  • IOL Chemicals and Pharmaceuticals Limited
  • 85, Industrial Area 'A'
  • Ludhiana
  • Punjab
  • 141003
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
524164BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 2007
IOLCPNSEI (National Stock Exchange of India)YesEquity SharesININRMay 2007

Biography

IOL Chemicals and Pharmaceuticals Limited manufactures and sells bulk drugs, and organic and inorganic chemical compounds in India and internationally. It operates through Chemicals and Drugs segments. The ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/27 12:49
End of Day Share Price2020/10/27 00:00
Earnings2020/06/30
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.