BSE:524774

Stock Analysis Report

Executive Summary

NGL Fine-Chem Limited manufactures and sells pharmaceuticals and intermediates for use in veterinary and human health in India.

Snowflake

Fundamentals

Flawless balance sheet with solid track record.

Share Price & News

How has NGL Fine-Chem's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.5%

524774

3.0%

IN Pharmaceuticals

3.1%

IN Market


1 Year Return

8.3%

524774

-18.9%

IN Pharmaceuticals

3.7%

IN Market

Return vs Industry: 524774 exceeded the Indian Pharmaceuticals industry which returned -18.9% over the past year.

Return vs Market: 524774 exceeded the Indian Market which returned 3.7% over the past year.


Shareholder returns

524774IndustryMarket
7 Day0.5%3.0%3.1%
30 Day5.1%-4.2%5.7%
90 Day8.5%-2.5%1.4%
1 Year8.7%8.3%-18.2%-18.9%5.9%3.7%
3 Year56.6%56.1%-26.1%-27.6%22.3%16.0%
5 Year1095.7%1091.4%-11.7%-14.3%42.5%28.9%

Price Volatility Vs. Market

How volatile is NGL Fine-Chem's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is NGL Fine-Chem undervalued compared to its fair value and its price relative to the market?

15.82x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: 524774 (₹521.25) is trading above our estimate of fair value (₹25.44)

Significantly Undervalued: 524774 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 524774 is poor value based on its PE Ratio (15.8x) compared to the Pharmaceuticals industry average (15.8x).

PE vs Market: 524774 is poor value based on its PE Ratio (15.8x) compared to the Indian market (13.2x).


Price to Earnings Growth Ratio

Low PEG Ratio: 524774 is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: 524774 is overvalued based on its PB Ratio (3.5x) compared to the IN Pharmaceuticals industry average (1.5x).


Next Steps

Future Growth

How is NGL Fine-Chem forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

16.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 524774's forecast earnings growth (16.9% per year) is above the savings rate (7.6%).

Earnings vs Market: 524774's earnings (16.9% per year) are forecast to grow slower than the Indian market (18.2% per year).

High Growth Earnings: 524774's earnings are forecast to grow, but not significantly.

Revenue vs Market: 524774's revenue (15% per year) is forecast to grow faster than the Indian market (11.4% per year).

High Growth Revenue: 524774's revenue (15% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if 524774's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has NGL Fine-Chem performed over the past 5 years?

21.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 524774's earnings have grown significantly by 21.4% per year over the past 5 years.

Accelerating Growth: 524774's earnings growth over the past year (28.7%) exceeds its 5-year average (21.4% per year).

Earnings vs Industry: 524774 earnings growth over the past year (28.7%) exceeded the Pharmaceuticals industry 14.4%.


Return on Equity

High ROE: 524774's Return on Equity (22.1%) is considered high.


Return on Assets

ROA vs Industry: 524774 has a higher Return on Assets than the Pharmaceuticals industry average last year.


Return on Capital Employed

ROCE Improving: 524774's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is NGL Fine-Chem's financial position?


Financial Position Analysis

Short Term Liabilities: 524774's short term assets (₹713.9M) exceeds its short term liabilities (₹381.7M)

Long Term Liabilities: 524774's short term assets (713.9M) exceeds its long term liabilities (119.0M)


Debt to Equity History and Analysis

Debt Level: 524774's debt to equity ratio (29.5%) is considered satisfactory

Reducing Debt: 524774's debt to equity ratio has reduced from 67.8% to 29.5% over the past 5 years.

Debt Coverage: 524774's debt is well covered by operating cash flow (32.6%).

Interest Coverage: 524774's interest payments on its debt are well covered by EBIT (16x coverage).


Balance Sheet

Inventory Level: 524774 has a high level of physical assets or inventory.

Debt Coverage by Assets: 524774's debt is covered by short term assets (assets are 2.628420x debt).


Next Steps

Dividend

What is NGL Fine-Chem's current dividend yield, its reliability and sustainability?

0.34%

Current Dividend Yield


Dividend Yield vs Market

company0.3%marketbottom25%0.6%markettop25%2.5%industryaverage0.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 524774's dividend (0.34%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: 524774's dividend (0.34%) is low compared to the top 25% of dividend payers in the Indian market (2.48%).

Stable Dividend: Too early to tell whether 524774's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 524774's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (5.3%), 524774'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

What is the CEO of NGL Fine-Chem's salary, the management and board of directors tenure and is there insider trading?

7.2yrs

Average board tenure


CEO

Rahul Nachane (54yo)

0yrs

Tenure

₹15,684,000

Compensation

Mr. Rahul Jayant Nachane, B. Com, ACA, MMS, DBF has been Managing Director of NGL Fine-Chem Ltd. since June 1, 2006 and serves as its Chief Executive Officer and served as its Compliance Officer until Apr ...


CEO Compensation Analysis

Compensation vs. Market: Rahul's total compensation ($USD220.60K) is about average for companies of similar size in the Indian market ($USD28.94K).

Compensation vs Earnings: Rahul's compensation has been consistent with company performance over the past year.


Board Age and Tenure

7.2yrs

Average Tenure

51.5yo

Average Age

Experienced Board: 524774's board of directors are considered experienced (7.2 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.


Ownership Breakdown


Management Team

  • Rahul Nachane (54yo)

    CEO, MD

    • Tenure: 0yrs
    • Compensation: ₹15.68m
  • Rajesh Lawande (43yo)

    Whole Time Director & CFO

    • Tenure: 9.3yrs
    • Compensation: ₹17.54m
  • Arun Lawande

    Consultant

    • Tenure: 10.5yrs
    • Compensation: ₹2.33m
  • Pallavi Pednekar

    Company Secretary and Compliance Officer

    • Tenure: 0.7yrs
    • Compensation: ₹422.30k

Board Members

  • Rahul Nachane (54yo)

    CEO, MD

    • Tenure: 0yrs
    • Compensation: ₹15.68m
  • Rajesh Lawande (43yo)

    Whole Time Director & CFO

    • Tenure: 9.3yrs
    • Compensation: ₹17.54m
  • Milind Shinde (53yo)

    Independent Chairman

    • Tenure: 0yrs
    • Compensation: ₹144.50k
  • Ajita Nachane (50yo)

    Non Executive Woman Director

    • Tenure: 5.1yrs
    • Compensation: ₹144.50k
  • Jayaram Sitaram

    Independent Non-Executive Director

    • Tenure: 4.2yrs
    • Compensation: ₹144.50k

Company Information

NGL Fine-Chem Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: NGL Fine-Chem Limited
  • Ticker: 524774
  • Exchange: BSE
  • Founded: 1981
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹3.211b
  • Shares outstanding: 6.18m
  • Website: https://www.nglfinechem.com

Number of Employees


Location

  • NGL Fine-Chem Limited
  • 301, E Square
  • Subhash Road
  • Mumbai
  • Maharashtra
  • 400057
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
524774BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2004

Biography

NGL Fine-Chem Limited manufactures and sells pharmaceuticals and intermediates for use in veterinary and human health in India. The company offers active pharmaceutical ingredients, such as diminazene acet ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 12:39
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.