Ipca Laboratories
Market Cap
₹301.3b
Last Updated
2020/10/28 12:39 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. More Details
Rewards
Risk Analysis
Snowflake Analysis
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
Stable Share Price: 524494's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
12.5%
524494
-1.0%
IN Pharmaceuticals
-0.2%
IN Market
1 Year Return
139.3%
524494
44.2%
IN Pharmaceuticals
0.2%
IN Market
Return vs Industry: 524494 exceeded the Indian Pharmaceuticals industry which returned 44.2% over the past year.
Return vs Market: 524494 exceeded the Indian Market which returned 0.2% over the past year.
Shareholder returns
| 524494 | Industry | Market | |
|---|---|---|---|
| 7 Day | 12.5% | -1.0% | -0.2% |
| 30 Day | 12.4% | 0.09% | 4.8% |
| 90 Day | 33.8% | 10.2% | 6.9% |
| 1 Year | 140.2%139.3% | 46.1%44.2% | 2.0%0.2% |
| 3 Year | 347.9%344.3% | 23.4%20.0% | -2.4%-7.2% |
| 5 Year | 215.0%211.8% | 0.2%-3.4% | 39.9%29.3% |
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?
48.66x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 524494 (₹2334.95) is trading above our estimate of fair value (₹844.6)
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 (48.7x) compared to the IN Pharmaceuticals industry average (22.6x).
PE vs Market: 524494 is poor value based on its PE Ratio (48.7x) compared to the Indian market (16.4x).
Price to Earnings Growth Ratio
PEG Ratio: 524494 is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: 524494 is overvalued based on its PB Ratio (8.1x) compared to the IN Pharmaceuticals industry average (2.2x).
Next Steps
Future Growth
How is Ipca Laboratories forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
18.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 524494's forecast earnings growth (18.9% per year) is above the savings rate (7.2%).
Earnings vs Market: 524494's earnings (18.9% per year) are forecast to grow slower than the Indian market (25.3% per year).
High Growth Earnings: 524494's earnings are forecast to grow, but not significantly.
Revenue vs Market: 524494's revenue (12.9% per year) is forecast to grow faster than the Indian market (11.3% per year).
High Growth Revenue: 524494's revenue (12.9% 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 high in 3 years time (20.2%)
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Past Performance
How has Ipca Laboratories performed over the past 5 years?
24.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 524494 has high quality earnings.
Growing Profit Margin: 524494's current net profit margins (13%) are higher than last year (11.8%).
Past Earnings Growth Analysis
Earnings Trend: 524494's earnings have grown significantly by 24.9% per year over the past 5 years.
Accelerating Growth: 524494's earnings growth over the past year (36.1%) exceeds its 5-year average (24.9% per year).
Earnings vs Industry: 524494 earnings growth over the past year (36.1%) exceeded the Pharmaceuticals industry 14.7%.
Return on Equity
High ROE: 524494's Return on Equity (16.6%) is considered low.
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Financial Health
How is Ipca Laboratories's financial position?
Financial Position Analysis
Short Term Liabilities: 524494's short term assets (₹28.6B) exceed its short term liabilities (₹13.3B).
Long Term Liabilities: 524494's short term assets (₹28.6B) exceed its long term liabilities (₹2.9B).
Debt to Equity History and Analysis
Debt Level: 524494's debt to equity ratio (13.2%) is considered satisfactory.
Reducing Debt: 524494's debt to equity ratio has reduced from 42.3% to 13.2% over the past 5 years.
Debt Coverage: 524494's debt is well covered by operating cash flow (117.1%).
Interest Coverage: 524494 earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
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Dividend
What is Ipca Laboratories's current dividend yield, its reliability and sustainability?
0.21%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 524494's dividend (0.21%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.55%).
High Dividend: 524494's dividend (0.21%) is low compared to the top 25% of dividend payers in the Indian market (2.29%).
Stability and Growth of Payments
Stable Dividend: 524494 is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.
Growing Dividend: 524494 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: 524494 is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of 524494'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?
9.0yrs
Average board tenure
CEO
Premchand Godha (74 yo)
no data
Tenure
₹105,836,285
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: Premchand's total compensation ($USD1.44M) is above average for companies of similar size in the Indian market ($USD810.97K).
Compensation vs Earnings: Premchand's compensation has been consistent with company performance over the past year.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | no data | ₹105.84m | 2.12% ₹ 6.4b | |
| CFO, Joint MD & Executive Director | 26.17yrs | ₹57.47m | 0.040% ₹ 121.6m | |
| Executive Director | 11.92yrs | ₹32.51m | 0.65% ₹ 2.0b | |
| Executive Director | 9.17yrs | ₹29.97m | 0.60% ₹ 1.8b | |
| Independent & Non-Executive Director | 10.75yrs | ₹850.00k | no data | |
| Independent & Non-Executive Director | 8.5yrs | ₹1.20m | 0.012% ₹ 34.9m | |
| Independent & Non-Executive Director | 6.08yrs | ₹850.00k | no data | |
| Independent Director | 1.58yrs | ₹1.20m | 0.00067% ₹ 2.0m |
9.0yrs
Average Tenure
68yo
Average Age
Experienced Board: 524494's board of directors are considered experienced (9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 524494 insiders have bought more shares than they have sold 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
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: ₹301.279b
- Shares outstanding: 126.83m
- Website: https://www.ipca.com
Location
- Ipca Laboratories Limited
- 125, 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 | 2020/10/28 12:39 |
| End of Day Share Price | 2020/10/28 00:00 |
| Earnings | 2020/03/31 |
| 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.