company background image
5245

Neuland LaboratoriesBSE:524558 Stock Report

Market Cap

₹22.3b

7D

10.0%

1Y

41.8%

Updated

18 Oct, 2021

Data

Company Financials +
524558 fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance5/6
Financial Health6/6
Dividends2/6

524558 Overview

Neuland Laboratories Limited manufactures and sells active pharmaceutical ingredients (APIs) in India, Europe, the United States, and internationally.

Neuland Laboratories Competitors

Laurus Labs

BSE:540222

₹346.3b

Granules India

BSE:532482

₹80.6b

Glenmark Life Sciences

BSE:543322

₹80.5b

Aarti Drugs

BSE:524348

₹58.3b

Price History & Performance

Summary of all time highs, changes and price drops for Neuland Laboratories
Historical stock prices
Current Share Price₹1,734.50
52 Week High₹975.00
52 Week Low₹2,840.00
Beta1.45
1 Month Change7.23%
3 Month Change-17.99%
1 Year Change41.82%
3 Year Change207.40%
5 Year Change79.75%
Change since IPO2,182.24%

Recent News & Updates

Shareholder Returns

524558IN PharmaceuticalsIN Market
7D10.0%-0.5%2.8%
1Y41.8%23.5%68.3%

Return vs Industry: 524558 exceeded the Indian Pharmaceuticals industry which returned 23.5% over the past year.

Return vs Market: 524558 underperformed the Indian Market which returned 68.3% over the past year.

Price Volatility

Is 524558's price volatile compared to industry and market?
524558 volatility
524558 Beta1.45
Industry Beta0.60
Market Beta1

Stable Share Price: 524558 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: 524558's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19841,427Davuluri Raohttps://www.neulandlabs.com

Neuland Laboratories Limited manufactures and sells active pharmaceutical ingredients (APIs) in India, Europe, the United States, and internationally. The company's APIs are used in various therapeutic areas, including antiasthmatics, cardiovasculars, antifungal, anticonvulsants, central nervous system, fluoroquinolones, antipsychotic, antibacterial and anti-parkinson, anti-ulcerants, and prostaglandins. It also provides custom manufacturing solutions, as well as peptide synthesis services.

Neuland Laboratories Fundamentals Summary

How do Neuland Laboratories's earnings and revenue compare to its market cap?
524558 fundamental statistics
Market Cap₹22.25b
Earnings (TTM)₹742.02m
Revenue (TTM)₹9.32b

30.0x

P/E Ratio

2.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
524558 income statement (TTM)
Revenue₹9.32b
Cost of Revenue₹5.53b
Gross Profit₹3.80b
Expenses₹3.05b
Earnings₹742.02m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)57.84
Gross Margin40.72%
Net Profit Margin7.96%
Debt/Equity Ratio23.2%

How did 524558 perform over the long term?

See historical performance and comparison

Dividends

0.3%

Current Dividend Yield

9%

Payout Ratio

Valuation

Is Neuland Laboratories undervalued compared to its fair value and its price relative to the market?

29.99x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 524558 (₹1734.5) is trading above our estimate of fair value (₹1098.4)

Significantly Below Fair Value: 524558 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 524558 is poor value based on its PE Ratio (30x) compared to the Indian Pharmaceuticals industry average (26x).

PE vs Market: 524558 is poor value based on its PE Ratio (30x) compared to the Indian market (22.2x).


Price to Earnings Growth Ratio

PEG Ratio: 524558 is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: 524558 is good value based on its PB Ratio (2.8x) compared to the IN Pharmaceuticals industry average (3.2x).


Future Growth

How is Neuland Laboratories forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

20.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 524558's forecast earnings growth (20.2% per year) is above the savings rate (6.7%).

Earnings vs Market: 524558's earnings (20.2% per year) are forecast to grow faster than the Indian market (19.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 524558's revenue (12.8% per year) is forecast to grow slower than the Indian market (12.9% per year).

High Growth Revenue: 524558's revenue (12.8% 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 524558's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Neuland Laboratories performed over the past 5 years?

25.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 524558 has high quality earnings.

Growing Profit Margin: 524558's current net profit margins (8%) are higher than last year (3.3%).


Past Earnings Growth Analysis

Earnings Trend: 524558's earnings have grown significantly by 25.2% per year over the past 5 years.

Accelerating Growth: 524558's earnings growth over the past year (189.1%) exceeds its 5-year average (25.2% per year).

Earnings vs Industry: 524558 earnings growth over the past year (189.1%) exceeded the Pharmaceuticals industry 35.8%.


Return on Equity

High ROE: 524558's Return on Equity (9.4%) is considered low.


Financial Health

How is Neuland Laboratories's financial position?


Financial Position Analysis

Short Term Liabilities: 524558's short term assets (₹5.5B) exceed its short term liabilities (₹3.7B).

Long Term Liabilities: 524558's short term assets (₹5.5B) exceed its long term liabilities (₹1.7B).


Debt to Equity History and Analysis

Debt Level: 524558's debt to equity ratio (23.2%) is considered satisfactory.

Reducing Debt: 524558's debt to equity ratio has reduced from 66.6% to 23.2% over the past 5 years.

Debt Coverage: 524558's debt is well covered by operating cash flow (103.9%).

Interest Coverage: 524558's interest payments on its debt are well covered by EBIT (11.4x coverage).


Balance Sheet


Dividend

What is Neuland Laboratories's current dividend yield, its reliability and sustainability?

0.34%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 524558's dividend (0.35%) is higher than the bottom 25% of dividend payers in the Indian market (0.33%).

High Dividend: 524558's dividend (0.35%) is low compared to the top 25% of dividend payers in the Indian market (1.35%).


Stability and Growth of Payments

Stable Dividend: 524558 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 524558's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (8.6%), 524558's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

8.2yrs

Average management tenure


CEO

Davuluri Rao (46 yo)

8.17yrs

Tenure

₹34,353,000

Compensation

Mr. Davuluri Sucheth Rao has been the Chief Executive Officer of Neuland Laboratories Limited since August 1, 2013, where Mr. Rao also served as its Chief Operating Officer. At Neuland, Sucheth has been re...


CEO Compensation Analysis

Compensation vs Market: Davuluri's total compensation ($USD458.03K) is above average for companies of similar size in the Indian market ($USD193.06K).

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


Leadership Team

Experienced Management: 524558's management team is seasoned and experienced (8.2 years average tenure).


Board Members

Experienced Board: 524558's board of directors are considered experienced (9.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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

Neuland Laboratories Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Neuland Laboratories Limited
  • Ticker: 524558
  • Exchange: BSE
  • Founded: 1984
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹22.253b
  • Shares outstanding: 12.83m
  • Website: https://www.neulandlabs.com

Number of Employees


Location

  • Neuland Laboratories Limited
  • Phoenix IVY Building
  • 11th Floor, 5th Office Level
  • Hyderabad
  • 500033
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 15:07
End of Day Share Price2021/10/18 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.