BSE:524494

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Executive Summary

Ipca Laboratories Limited manufactures and markets pharmaceutical formulations and active pharmaceutical ingredients (APIs) for various therapeutic segments in India. More Details


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

524494IndustryMarket
7 Day12.5%-1.0%-0.2%
30 Day12.4%0.09%4.8%
90 Day33.8%10.2%6.9%
1 Year140.2%139.3%46.1%44.2%2.0%0.2%
3 Year347.9%344.3%23.4%20.0%-2.4%-7.2%
5 Year215.0%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%)


Next Steps

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.


Next Steps

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


Next Steps

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.


Next Steps

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

NamePositionTenureCompensationOwnership
Premchand Godha
Chairmanno data₹105.84m2.12%
₹ 6.4b
Ajit Kumar Jain
CFO, Joint MD & Executive Director26.17yrs₹57.47m0.040%
₹ 121.6m
Pranay Godha
Executive Director11.92yrs₹32.51m0.65%
₹ 2.0b
Prashant Godha
Executive Director9.17yrs₹29.97m0.60%
₹ 1.8b
Anand Kusre
Independent & Non-Executive Director10.75yrs₹850.00kno data
Dev Prakash Yadava
Independent & Non-Executive Director8.5yrs₹1.20m0.012%
₹ 34.9m
Manisha Premnath
Independent & Non-Executive Director6.08yrs₹850.00kno data
Kamal Seth
Independent Director1.58yrs₹1.20m0.00067%
₹ 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

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
524494BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 1995
IPCALABNSEI (National Stock Exchange of India)YesEquity SharesININRFeb 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

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/28 12:39
End of Day Share Price2020/10/28 00:00
Earnings2020/03/31
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.