BSE:524790

Stock Analysis Report

Executive Summary

Everest Organics Limited manufactures and sells pharmaceutical products in India.


Snowflake Analysis

Solid track record with adequate balance sheet.

Share Price & News

How has Everest Organics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 524790's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.8%

524790

-4.0%

IN Pharmaceuticals

-3.5%

IN Market


1 Year Return

-12.7%

524790

-1.9%

IN Pharmaceuticals

5.2%

IN Market

Return vs Industry: 524790 underperformed the Indian Pharmaceuticals industry which returned -0.4% over the past year.

Return vs Market: 524790 underperformed the Indian Market which returned 6.4% over the past year.


Shareholder returns

524790IndustryMarket
7 Day0.8%-4.0%-3.5%
30 Day-26.2%-3.7%-3.9%
90 Day-20.9%-0.5%-2.1%
1 Year-12.3%-12.7%-0.7%-1.9%7.2%5.2%
3 Year88.0%87.1%-15.6%-17.6%18.9%12.4%
5 Yearn/a-20.0%-22.6%29.4%17.7%

Price Volatility Vs. Market

How volatile is Everest Organics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Everest Organics undervalued compared to its fair value and its price relative to the market?

12.98x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 524790 (₹128) is trading above our estimate of fair value (₹61.75)

Significantly Below Fair Value: 524790 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 524790 is good value based on its PE Ratio (13x) compared to the Pharmaceuticals industry average (16.3x).

PE vs Market: 524790 is good value based on its PE Ratio (13x) compared to the Indian market (13x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 524790's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 524790 is overvalued based on its PB Ratio (3.4x) compared to the IN Pharmaceuticals industry average (1.5x).


Next Steps

Future Growth

How is Everest Organics forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

25.0%

Forecasted Pharmaceuticals & Biotech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Everest Organics has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Everest Organics performed over the past 5 years?

53.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 524790 has high quality earnings.

Growing Profit Margin: 524790's current net profit margins (4.5%) are higher than last year (4.5%).


Past Earnings Growth Analysis

Earnings Trend: 524790's earnings have grown significantly by 53.1% per year over the past 5 years.

Accelerating Growth: 524790's earnings growth over the past year (29.7%) is below its 5-year average (53.1% per year).

Earnings vs Industry: 524790 earnings growth over the past year (29.7%) exceeded the Pharmaceuticals industry 22%.


Return on Equity

High ROE: 524790's Return on Equity (26.2%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Everest Organics's financial position?


Financial Position Analysis

Short Term Liabilities: 524790's short term assets (₹711.1M) do not cover its short term liabilities (₹727.7M).

Long Term Liabilities: 524790's short term assets (₹711.1M) exceed its long term liabilities (₹111.6M).


Debt to Equity History and Analysis

Debt Level: 524790's debt to equity ratio (74%) is considered high.

Reducing Debt: 524790's debt to equity ratio has reduced from 448.7% to 74% over the past 5 years.

Debt Coverage: 524790's debt is well covered by operating cash flow (49.5%).

Interest Coverage: 524790's interest payments on its debt are well covered by EBIT (8.9x coverage).


Balance Sheet

Inventory Level: 524790 has a high level of physical assets or inventory.

Debt Coverage by Assets: 524790's debt is covered by short term assets (assets are 3.2x debt).


Next Steps

Dividend

What is Everest Organics's current dividend yield, its reliability and sustainability?

0.78%

Current Dividend Yield


Dividend Yield vs Market

company0.8%marketbottom25%0.6%markettop25%2.7%industryaverage0.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 524790's dividend (0.78%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: 524790's dividend (0.78%) is low compared to the top 25% of dividend payers in the Indian market (2.63%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether 524790's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 524790's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (10.1%), 524790'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?

12.4yrs

Average board tenure


CEO

Srikakarlapudi Raju (67yo)

4.1yrs

Tenure

₹3,000,000

Compensation

Dr. Srikakarlapudi Srihari Raju serves as the Managing Director since January 1, 2016 and Executive Director at Everest Organics and served as its Compliance Officer. 


CEO Compensation Analysis

Compensation vs Market: Srikakarlapudi's total compensation ($USD41.77K) is about average for companies of similar size in the Indian market ($USD49.94K).

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


Board Members

NamePositionTenureCompensationOwnership
Srikakarlapudi Raju
MD & Executive Director4.1yrs₹3.00m19.43% 192.0m
Akella Parvatisem
Technical Director & Executive Director15.5yrs₹1.80m0.00045% 4.4k
Srikakarlapudi Krishna
Whole Time Director12.4yrs₹900.00k0.47% 4.7m
Sitarama Kakarlapudi
Non-Executive Director24.8yrs₹10.00k1.42% 14.0m
Venkatesan Swaminathan
Independent Non Executive Director10.4yrs₹70.00kno data
Kounparaju Raju
Independent Chairman0yrs₹70.00k0.0090% 89.0k
Sri Sirisha
Non-Executive Director5.6yrs₹30.00k1.35% 13.3m
Sreeramakrishna Grandhi
Independent Director5.6yrs₹50.00kno data

12.4yrs

Average Tenure

67yo

Average Age

Experienced Board: 524790's board of directors are seasoned and experienced ( 12.4 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 been substantially diluted in the past year, with total shares outstanding growing by 50.7%.


Top Shareholders

Company Information

Everest Organics Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Everest Organics Limited
  • Ticker: 524790
  • Exchange: BSE
  • Founded: 1993
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹988.400m
  • Shares outstanding: 8.00m
  • Website: https://www.everestorganicsltd.com

Number of Employees


Location

  • Everest Organics Limited
  • Lakeview Plaza
  • 1st Floor, Plot No.127 & 128
  • Hyderabad
  • Andhra Pradesh
  • 500033
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
524790BSE (Mumbai Stock Exchange)YesEquity SharesININRMar 2001

Biography

Everest Organics Limited manufactures and sells pharmaceutical products in India. It offers active pharmaceutical ingredients and intermediaries. The company also exports its products to Europe, the United States, the Far East and the Middle East, and Latin/Central/South American Countries. Everest Organics Limited was incorporated in 1993 and is based in Hyderabad, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/26 12:41
End of Day Share Price2020/02/26 00:00
Earnings2019/12/31
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.