Aarti Drugs
Market Cap
₹65.9b
Last Updated
2021/01/16 12:09 UTC
Data Sources
Company Financials +
Executive Summary
Aarti Drugs Limited, through its subsidiaries, engages in the pharmaceuticals business in India and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Outstanding track record with excellent balance sheet.
Similar Companies
Share Price & News
How has Aarti Drugs's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 524348 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: 524348's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
-3.8%
524348
-1.0%
IN Pharmaceuticals
-0.4%
IN Market
1 Year Return
351.9%
524348
55.0%
IN Pharmaceuticals
15.9%
IN Market
Return vs Industry: 524348 exceeded the Indian Pharmaceuticals industry which returned 55% over the past year.
Return vs Market: 524348 exceeded the Indian Market which returned 15.9% over the past year.
Shareholder returns
| 524348 | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.8% | -1.0% | -0.4% |
| 30 Day | -6.0% | 3.5% | 5.0% |
| 90 Day | -10.4% | 10.0% | 24.4% |
| 1 Year | 355.0%351.9% | 56.8%55.0% | 18.1%15.9% |
| 3 Year | 309.3%304.9% | 42.6%39.2% | 9.7%4.4% |
| 5 Year | 476.8%464.3% | 29.9%25.4% | 82.3%68.5% |
Long-Term Price Volatility Vs. Market
How volatile is Aarti Drugs's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 years ago | Simply Wall St
Is It Time To Buy Aarti Drugs Limited (BOM:524348) Based Off Its PE Ratio?2 years ago | Simply Wall St
Best Growth Stocks To BuyValuation
Is Aarti Drugs undervalued compared to its fair value and its price relative to the market?
26.6x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 524348 (₹707.5) is trading above our estimate of fair value (₹393.7)
Significantly Below Fair Value: 524348 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 524348 is poor value based on its PE Ratio (26.6x) compared to the IN Pharmaceuticals industry average (23.9x).
PE vs Market: 524348 is poor value based on its PE Ratio (26.6x) compared to the Indian market (19.5x).
Price to Earnings Growth Ratio
PEG Ratio: 524348 is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: 524348 is overvalued based on its PB Ratio (8.1x) compared to the IN Pharmaceuticals industry average (2.5x).
Next Steps
Future Growth
How is Aarti Drugs forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
18.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 524348's forecast earnings growth (18.7% per year) is above the savings rate (7%).
Earnings vs Market: 524348's earnings (18.7% per year) are forecast to grow slower than the Indian market (25.5% per year).
High Growth Earnings: 524348's earnings are forecast to grow, but not significantly.
Revenue vs Market: 524348's revenue (16.5% per year) is forecast to grow faster than the Indian market (11.7% per year).
High Growth Revenue: 524348's revenue (16.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 524348's Return on Equity is forecast to be high in 3 years time (31.4%)
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Past Performance
How has Aarti Drugs performed over the past 5 years?
21.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 524348 has high quality earnings.
Growing Profit Margin: 524348's current net profit margins (12.1%) are higher than last year (6%).
Past Earnings Growth Analysis
Earnings Trend: 524348's earnings have grown significantly by 21.6% per year over the past 5 years.
Accelerating Growth: 524348's earnings growth over the past year (139.8%) exceeds its 5-year average (21.6% per year).
Earnings vs Industry: 524348 earnings growth over the past year (139.8%) exceeded the Pharmaceuticals industry 28.7%.
Return on Equity
High ROE: 524348's Return on Equity (30.4%) is considered high.
Next Steps
Financial Health
How is Aarti Drugs's financial position?
Financial Position Analysis
Short Term Liabilities: 524348's short term assets (₹10.5B) exceed its short term liabilities (₹6.4B).
Long Term Liabilities: 524348's short term assets (₹10.5B) exceed its long term liabilities (₹2.9B).
Debt to Equity History and Analysis
Debt Level: 524348's debt to equity ratio (40.5%) is considered high.
Reducing Debt: 524348's debt to equity ratio has reduced from 154.9% to 40.5% over the past 5 years.
Debt Coverage: 524348's debt is well covered by operating cash flow (62.8%).
Interest Coverage: 524348's interest payments on its debt are well covered by EBIT (12x coverage).
Balance Sheet
Next Steps
Dividend
What is Aarti Drugs's current dividend yield, its reliability and sustainability?
0.088%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 524348's dividend (0.088%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.44%).
High Dividend: 524348's dividend (0.088%) is low compared to the top 25% of dividend payers in the Indian market (1.81%).
Stability and Growth of Payments
Stable Dividend: 524348 is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.
Growing Dividend: 524348 is not paying a notable dividend for the Indian market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: 524348 is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of 524348's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.
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Management
How experienced are the management team and are they aligned to shareholders interests?
6.3yrs
Average management tenure
CEO
Prakash Patil (73 yo)
no data
Tenure
₹19,093,000
Compensation
Mr. Prakash Moreshwar Patil has been the Chairman of the Board of Aarti Drugs Limited since April 2014. Mr. Patil has been the Managing Director of Aarti Drugs Limited since June 1, 2007 and serves as its...
CEO Compensation Analysis
Compensation vs Market: Prakash's total compensation ($USD261.02K) is below average for companies of similar size in the Indian market ($USD400.54K).
Compensation vs Earnings: Prakash's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | no data | ₹19.09m | 9.29% ₹ 6.1b | |
| Joint MD & Executive Director | 34yrs | ₹18.04m | 4.74% ₹ 3.1b | |
| CFO & Director | no data | ₹5.84m | 1.23% ₹ 808.8m | |
| Company Secretary & Compliance Officer | 1.75yrs | ₹639.00k | no data | |
| Whole-Time Director | 25.33yrs | ₹18.04m | 4.46% ₹ 2.9b | |
| Whole-Time Director | 20.25yrs | ₹1.30m | 0.053% ₹ 35.2m | |
| MD & Executive Director | 8.42yrs | ₹18.04m | 4.52% ₹ 3.0b | |
| Director of Pinnacle of Life Sciences | 8.33yrs | no data | 1.03% ₹ 680.3m |
6.3yrs
Average Tenure
57yo
Average Age
Experienced Management: 524348's management team is seasoned and experienced (6.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | no data | ₹19.09m | 9.29% ₹ 6.1b | |
| Joint MD & Executive Director | 34yrs | ₹18.04m | 4.74% ₹ 3.1b | |
| CFO & Director | no data | ₹5.84m | 1.23% ₹ 808.8m | |
| Whole-Time Director | 25.33yrs | ₹18.04m | 4.46% ₹ 2.9b | |
| Whole-Time Director | 20.25yrs | ₹1.30m | 0.053% ₹ 35.2m | |
| MD & Executive Director | 8.42yrs | ₹18.04m | 4.52% ₹ 3.0b | |
| Non-Executive Independent Director | 15.08yrs | ₹70.00k | 0.033% ₹ 21.6m | |
| Chairman Emeritus | 8.42yrs | ₹43.00k | 1.88% ₹ 1.2b | |
| Non-Executive Independent Director | 15.08yrs | ₹20.00k | no data | |
| Non-Executive Independent Director | 14.5yrs | ₹90.00k | no data | |
| Non-Executive Independent Director | 12.25yrs | ₹30.00k | no data | |
| Non-Executive Independent Director | 10.17yrs | ₹90.00k | no data |
14.5yrs
Average Tenure
58.5yo
Average Age
Experienced Board: 524348's board of directors are seasoned and experienced ( 14.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 524348 insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Aarti Drugs Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Aarti Drugs Limited
- Ticker: 524348
- Exchange: BSE
- Founded: 1984
- Industry: Pharmaceuticals
- Sector: Pharmaceuticals & Biotech
- Market Cap: ₹65.939b
- Shares outstanding: 93.20m
- Website: https://www.aartidrugs.co.in
Number of Employees
Location
- Aarti Drugs Limited
- Mahendra Industrial Estate
- Ground Floor
- Mumbai
- Maharashtra
- 400 022
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 524348 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Apr 2000 |
| AARTIDRUGS | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Apr 2000 |
Biography
Aarti Drugs Limited, through its subsidiaries, engages in the pharmaceuticals business in India and internationally. It offers active pharmaceutical ingredients in various therapeutic categories, including...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/16 12:09 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2020/03/31 |
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.