BSE:524164

Stock Analysis Report

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.

Snowflake

Fundamentals

Outstanding track record with excellent balance sheet.

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


Market Performance


7 Day Return

0.2%

524164

3.9%

IN Pharmaceuticals

3.8%

IN Market


1 Year Return

37.2%

524164

-17.5%

IN Pharmaceuticals

6.0%

IN Market

Return vs Industry: 524164 exceeded the Indian Pharmaceuticals industry which returned -17.5% over the past year.

Return vs Market: 524164 exceeded the Indian Market which returned 6% over the past year.


Shareholder returns

524164IndustryMarket
7 Day0.2%3.9%3.8%
30 Day-2.7%-4.4%2.9%
90 Day-15.8%-2.0%2.9%
1 Year37.2%37.2%-16.8%-17.5%8.2%6.0%
3 Year30.5%30.5%-25.4%-27.0%23.0%16.7%
5 Year186.0%186.0%-10.5%-13.2%43.6%30.0%

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?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 524164 (₹172) is trading below our estimate of fair value (₹570.36)

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 (3.2x) compared to the Pharmaceuticals industry average (15.7x).

PE vs Market: 524164 is good value based on its PE Ratio (3.2x) compared to the Indian market (13.1x).


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 (2.1x) compared to the IN Pharmaceuticals industry average (1.5x).


Next Steps

Future Growth

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

-27.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 524164's earnings are forecast to decline over the next 3 years (-27.6% per year).

Earnings vs Market: 524164's earnings are forecast to decline over the next 3 years (-27.6% per year).

High Growth Earnings: 524164's earnings are forecast to decline over the next 3 years.

Revenue vs Market: 524164's revenue (16.2% per year) is forecast to grow faster than the Indian market (11.3% per year).

High Growth Revenue: 524164's revenue (16.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 524164's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

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

80.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 524164's earnings have grown significantly by 80.3% per year over the past 5 years.

Accelerating Growth: 524164's earnings growth over the past year (686.1%) exceeds its 5-year average (80.3% per year).

Earnings vs Industry: 524164 earnings growth over the past year (686.1%) exceeded the Pharmaceuticals industry 14.4%.


Return on Equity

High ROE: 524164's Return on Equity (64.9%) is considered outstanding.


Return on Assets

ROA vs Industry: 524164 has a higher Return on Assets than the Pharmaceuticals industry average last year.


Return on Capital Employed

ROCE Improving: 524164 has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is IOL Chemicals and Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: 524164's short term assets (₹4.9B) exceeds its short term liabilities (₹2.6B)

Long Term Liabilities: 524164's short term assets (4.9B) exceeds its long term liabilities (2.1B)


Debt to Equity History and Analysis

Debt Level: 524164's debt to equity ratio (59.9%) is considered high

Reducing Debt: 524164's debt to equity ratio has reduced from 149.6% to 59.9% over the past 5 years.

Debt Coverage: 524164's debt is well covered by operating cash flow (96.2%).

Interest Coverage: 524164's interest payments on its debt are well covered by EBIT (12.8x coverage).


Balance Sheet

Inventory Level: 524164 has a high level of physical assets or inventory.

Debt Coverage by Assets: 524164's debt is covered by short term assets (assets are 1.718520x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.4%industryaverage0.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate 524164's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 524164's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 524164's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 524164's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 524164's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

What is the CEO of IOL Chemicals and Pharmaceuticals's salary, the management and board of directors tenure and is there insider trading?

5.4yrs

Average management tenure


CEO

Varinder Gupta (57yo)

12.1yrs

Tenure

₹37,200,000

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 ($USD523.38K) is about average for companies of similar size in the Indian market ($USD32.51K).

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


Management Age and Tenure

5.4yrs

Average Tenure

49yo

Average Age

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


Board Age and Tenure

5.2yrs

Average Tenure

57yo

Average Age

Experienced Board: 524164's board of directors are considered experienced (5.2 years average tenure).


Insider Trading

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


Recent Insider Transactions

Buy₹139,809,98203 Apr 19
Towels Enterprises Limited
EntityCompany
Shares682,000
Max Price₹205.00

Ownership Breakdown


Management Team

  • Krishan Singla (58yo)

    VP, Compliance Officer & Company Secretary

    • Tenure: 0yrs
    • Compensation: ₹4.60m
  • Varinder Gupta (57yo)

    MD & Whole Time Director

    • Tenure: 12.1yrs
    • Compensation: ₹37.20m
  • Damandeep Singh (45yo)

    President of Project

    • Tenure: 0yrs
    • Compensation: ₹780.00k
  • Vijay Garg (49yo)

    Joint MD & Whole Time Director

    • Tenure: 6.6yrs
    • Compensation: ₹23.50m
  • Vijay Singla (44yo)

    President of Chemicals

    • Tenure: 0yrs
    • Compensation: ₹3.80m
  • Gurupur Pai (67yo)

    Chief Technology Officer

    • Tenure: 0yrs
  • Vikas Gupta (27yo)

    Executive Director

    • Tenure: 4.4yrs
    • Compensation: ₹8.70m
  • Pardeep Khanna (49yo)

    Chief Financial Officer

    • Tenure: 4.2yrs
    • Compensation: ₹6.30m
  • Jagdish Goel (49yo)

    President of API Business

    • Tenure: 0yrs
  • Kamlesh Ranbhan (54yo)

    President of R&D

    • Tenure: 0yrs

Board Members

  • Rajendra Malla (66yo)

    Independent Chairman of the Board

    • Tenure: 0.7yrs
    • Compensation: ₹55.00k
  • Chandra Mohan (87yo)

    Independent Director

    • Tenure: 13.3yrs
    • Compensation: ₹200.00k
  • Varinder Gupta (57yo)

    MD & Whole Time Director

    • Tenure: 12.1yrs
    • Compensation: ₹37.20m
  • Vijay Garg (49yo)

    Joint MD & Whole Time Director

    • Tenure: 6.6yrs
    • Compensation: ₹23.50m
  • Harpal Singh (63yo)

    Additional & Independent Director

    • Tenure: 0.7yrs
    • Compensation: ₹55.00k
  • Sandhya Mehta (51yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: ₹200.00k
  • Vikas Gupta (27yo)

    Executive Director

    • Tenure: 4.4yrs
    • Compensation: ₹8.70m

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: ₹9.785b
  • Shares outstanding: 56.89m
  • 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 Analysis2019/10/19 12:48
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.