Ipca Laboratories
Market Cap
₹117.2b
Last Updated
2019/10/23 12:37 UTC
Data Sources
Company Financials +
Executive Summary
Ipca Laboratories Limited manufactures and markets pharmaceutical formulations and active pharmaceutical ingredients (APIs) for various therapeutic segments in India.
Snowflake
Fundamentals
Flawless balance sheet with solid track record.
Similar Companies
Share Price & News
How has Ipca Laboratories's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
5.9%
524494
4.1%
IN Pharmaceuticals
2.3%
IN Market
1 Year Return
45.3%
524494
-13.2%
IN Pharmaceuticals
7.4%
IN Market
Return vs Industry: 524494 exceeded the Indian Pharmaceuticals industry which returned -13.2% over the past year.
Return vs Market: 524494 exceeded the Indian Market which returned 7.4% over the past year.
Shareholder returns
| 524494 | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.9% | 4.1% | 2.3% |
| 30 Day | -1.2% | -2.4% | 0.9% |
| 90 Day | 0.09% | -0.5% | 3.7% |
| 1 Year | 45.8%45.3% | -12.5%-13.2% | 9.7%7.4% |
| 3 Year | 53.5%52.5% | -23.5%-25.1% | 23.0%16.6% |
| 5 Year | 30.0%29.0% | -10.1%-12.8% | 42.1%28.5% |
Price Volatility Vs. Market
How volatile is Ipca Laboratories's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Ipca Laboratories undervalued compared to its fair value and its price relative to the market?
23.63x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 524494 (₹945.55) is trading above our estimate of fair value (₹232.23)
Significantly Below Fair Value: 524494 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 524494 is poor value based on its PE Ratio (23.6x) compared to the Pharmaceuticals industry average (16x).
PE vs Market: 524494 is poor value based on its PE Ratio (23.6x) compared to the Indian market (13x).
Price to Earnings Growth Ratio
PEG Ratio: 524494 is poor value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: 524494 is overvalued based on its PB Ratio (3.8x) compared to the IN Pharmaceuticals industry average (1.5x).
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Future Growth
How is Ipca Laboratories forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
23.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 524494's forecast earnings growth (23.4% per year) is above the savings rate (7.6%).
Earnings vs Market: 524494's earnings (23.4% per year) are forecast to grow faster than the Indian market (18.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: 524494's revenue (12.2% per year) is forecast to grow faster than the Indian market (11.2% per year).
High Growth Revenue: 524494's revenue (12.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 524494's Return on Equity is forecast to be low in 3 years time (17.9%).
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Past Performance
How has Ipca Laboratories performed over the past 5 years?
24.8%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: 524494's earnings have grown significantly by 24.8% per year over the past 5 years.
Accelerating Growth: 524494's earnings growth over the past year (74.1%) exceeds its 5-year average (24.8% per year).
Earnings vs Industry: 524494 earnings growth over the past year (74.1%) exceeded the Pharmaceuticals industry 14.2%.
Return on Equity
High ROE: 524494's Return on Equity (16%) is considered low.
Return on Assets
ROA vs Industry: 524494 has a higher Return on Assets than the Pharmaceuticals industry average last year.
Return on Capital Employed
ROCE Improving: 524494 has significantly improved its Return on Capital Employed over the past 3 years.
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Financial Health
How is Ipca Laboratories's financial position?
Financial Position Analysis
Short Term Liabilities: 524494's short term assets (₹23.8B) exceeds its short term liabilities (₹11.0B)
Long Term Liabilities: 524494's short term assets (23.8B) exceeds its long term liabilities (3.2B)
Debt to Equity History and Analysis
Debt Level: 524494's debt to equity ratio (14.8%) is considered satisfactory
Reducing Debt: 524494's debt to equity ratio has reduced from 33.9% to 14.8% over the past 5 years.
Debt Coverage: 524494's debt is well covered by operating cash flow (105.9%).
Interest Coverage: 524494 earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: 524494 has a high level of physical assets or inventory.
Debt Coverage by Assets: 524494's debt is covered by short term assets (assets are 5.1x debt).
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Dividend
What is Ipca Laboratories's current dividend yield, its reliability and sustainability?
0.32%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: 524494's dividend (0.32%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.6%).
High Dividend: 524494's dividend (0.32%) is low compared to the top 25% of dividend payers in the Indian market (2.41%).
Stable Dividend: 524494's dividend payments have been volatile in the past 10 years.
Growing Dividend: 524494's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (7.5%), 524494's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 524494's dividends in 3 years are forecast to be thoroughly covered by earnings (5.7% payout ratio).
Next Steps
Management
What is the CEO of Ipca Laboratories's salary, the management and board of directors tenure and is there insider trading?
7.8yrs
Average board tenure
CEO
Premchand Godha (73yo)
0yrs
Tenure
₹108,630,551
Compensation
Mr. Premchand Godha, CA, B.Com., A.C.A., has been the Managing Director of Ipca Laboratories Limited since 1983 and serves as its Chief Executive Officer. Mr. Godha was in professional practice for five ye ...
CEO Compensation Analysis
Compensation vs. Market: Insufficient data to establish whether Premchand's total compensation is reasonable compared to companies of similar size in the Indian market.
Compensation vs Earnings: Premchand's compensation has increased by more than 20% in the past year.
Board Age and Tenure
7.8yrs
Average Tenure
67yo
Average Age
Experienced Board: 524494's board of directors are considered experienced (7.8 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
| Entity | Individual |
| Shares | 9,678 |
| Max Price | ₹925.93 |
Ownership Breakdown
Management Team
Premchand Godha (73yo)
Chairman
- Tenure: 0yrs
- Compensation: ₹108.63m
Ajit Kumar Jain (64yo)
CFO, Joint MD & Executive Director
- Tenure: 25.2yrs
- Compensation: ₹49.91m
Harish Kamath (60yo)
Compliance Officer
- Tenure: 0yrs
- Compensation: ₹12.72m
Pranay Godha (47yo)
President of APIs & Generics and Executive Director
- Tenure: 0yrs
- Compensation: ₹29.20m
Prashant Godha (44yo)
Executive Director
- Tenure: 8.2yrs
- Compensation: ₹27.69m
E. Babu (56yo)
President of Global Business
- Tenure: 0yrs
- Compensation: ₹7.57m
Sanjay Sinha (60yo)
President of Operations - Formulations
- Tenure: 0yrs
- Compensation: ₹8.74m
Sameer Tamhane (52yo)
Senior Vice President of Human Resources
- Tenure: 0yrs
- Compensation: ₹6.52m
Vishnu Kushwaha (51yo)
Vice President of Technical
- Tenure: 0yrs
Pawan Kothari (54yo)
Vice President of Operations
- Tenure: 0yrs
- Compensation: ₹6.05m
Board Members
Premchand Godha (73yo)
Chairman
- Tenure: 0yrs
- Compensation: ₹108.63m
Anand Kusre (70yo)
Independent & Non-Executive Director
- Tenure: 9.8yrs
- Compensation: ₹650.00k
Ajit Kumar Jain (64yo)
CFO, Joint MD & Executive Director
- Tenure: 25.2yrs
- Compensation: ₹49.91m
Pranay Godha (47yo)
President of APIs & Generics and Executive Director
- Tenure: 0yrs
- Compensation: ₹29.20m
Prashant Godha (44yo)
Executive Director
- Tenure: 8.2yrs
- Compensation: ₹27.69m
Dev Yadava (72yo)
Independent & Non-Executive Director
- Tenure: 7.5yrs
- Compensation: ₹750.00k
Manisha Premnath (45yo)
Independent & Non-Executive Director
- Tenure: 5.1yrs
- Compensation: ₹325.00k
Kamal Seth (74yo)
Independent Director
- Tenure: 0.6yrs
- Compensation: ₹100.00k
Company Information
Ipca Laboratories Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Ipca Laboratories Limited
- Ticker: 524494
- Exchange: BSE
- Founded: 1949
- Industry: Pharmaceuticals
- Sector: Pharmaceuticals & Biotech
- Market Cap: ₹117.161b
- Shares outstanding: 126.33m
- Website: https://www.ipca.com
Location
- Ipca Laboratories Limited
- 142 AB, Kandivli Industrial Estate
- Kandivli (West)
- Mumbai
- Maharashtra
- 400067
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 524494 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Feb 1995 |
| IPCALAB | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Feb 1995 |
Biography
Ipca Laboratories Limited manufactures and markets pharmaceutical formulations and active pharmaceutical ingredients (APIs) for various therapeutic segments in India. The company offers APIs in therapeutic ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/23 12:37 |
| End of Day Share Price | 2019/10/23 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2019/03/31 |
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.