BSE:538964

Stock Analysis Report

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Executive Summary

Mercury Laboratories Limited develops, manufactures, markets, distributes, and sells pharmaceuticals, medicinal drugs, and formulations for mother and child healthcare in Asia, Africa, the Far East, and internationally. More Details


Snowflake Analysis

Flawless balance sheet and fair value.

Share Price & News

How has Mercury Laboratories's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 538964's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-11.8%

538964

-1.0%

IN Pharmaceuticals

-0.2%

IN Market


1 Year Return

53.8%

538964

44.2%

IN Pharmaceuticals

0.2%

IN Market

Return vs Industry: 538964 exceeded the Indian Pharmaceuticals industry which returned 44.2% over the past year.

Return vs Market: 538964 exceeded the Indian Market which returned 0.2% over the past year.


Shareholder returns

538964IndustryMarket
7 Day-11.8%-1.0%-0.2%
30 Day-1.5%0.09%4.8%
90 Day38.1%10.2%6.9%
1 Year54.6%53.8%46.1%44.2%2.0%0.2%
3 Year-0.4%-1.8%23.4%20.0%-2.4%-7.2%
5 Year-6.2%-8.2%0.2%-3.4%39.9%29.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

15.56x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 538964 (₹413.75) is trading above our estimate of fair value (₹264.81)

Significantly Below Fair Value: 538964 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 538964 is good value based on its PE Ratio (15.6x) compared to the IN Pharmaceuticals industry average (22.6x).

PE vs Market: 538964 is good value based on its PE Ratio (15.6x) compared to the Indian market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 538964's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 538964 is good value based on its PB Ratio (1.6x) compared to the IN Pharmaceuticals industry average (2.2x).


Next Steps

Future Growth

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

27.2%

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 Mercury Laboratories 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 Mercury Laboratories performed over the past 5 years?

-1.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 538964 has high quality earnings.

Growing Profit Margin: 538964's current net profit margins (5.7%) are higher than last year (5.3%).


Past Earnings Growth Analysis

Earnings Trend: 538964's earnings have declined by 1.6% per year over the past 5 years.

Accelerating Growth: 538964's earnings growth over the past year (5.5%) exceeds its 5-year average (-1.6% per year).

Earnings vs Industry: 538964 earnings growth over the past year (5.5%) underperformed the Pharmaceuticals industry 14.7%.


Return on Equity

High ROE: 538964's Return on Equity (10%) is considered low.


Next Steps

Financial Health

How is Mercury Laboratories's financial position?


Financial Position Analysis

Short Term Liabilities: 538964's short term assets (₹315.1M) exceed its short term liabilities (₹150.7M).

Long Term Liabilities: 538964's short term assets (₹315.1M) exceed its long term liabilities (₹92.6M).


Debt to Equity History and Analysis

Debt Level: 538964's debt to equity ratio (19.8%) is considered satisfactory.

Reducing Debt: 538964's debt to equity ratio has reduced from 44.5% to 19.8% over the past 5 years.

Debt Coverage: 538964's debt is well covered by operating cash flow (86.8%).

Interest Coverage: 538964's interest payments on its debt are well covered by EBIT (6x coverage).


Balance Sheet


Next Steps

Dividend

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

0.48%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 538964's dividend (0.48%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.55%).

High Dividend: 538964's dividend (0.48%) is low compared to the top 25% of dividend payers in the Indian market (2.29%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 538964 has been paying a dividend for less than 10 years.

Growing Dividend: 538964's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (7.5%), 538964'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?

4.2yrs

Average board tenure


CEO

Rajendra Shah (68 yo)

no data

Tenure

₹1,840,793

Compensation

Mr. Rajendra Ramanlal Shah has been the Managing Director of Mercury Laboratories Limited since March 31, 1992 and serves as its Chief Executive Officer and served as its Chairman of the Board until Februa ...


CEO Compensation Analysis

Compensation vs Market: Rajendra's total compensation ($USD24.99K) is below average for companies of similar size in the Indian market ($USD54.82K).

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


Board Members

NamePositionTenureCompensationOwnership
Rajendra Shah
CEO, MD & Directorno data₹1.84m24.56%
₹ 129.2m
Dilipbhai Shah
Non-Executive Non Independent Director38.67yrs₹10.00k34.24%
₹ 180.2m
Bharat Mehta
Non Executive Independent Director5.42yrs₹20.50kno data
Divyakant Zaveri
Non Executive Independent Chairman0.67yr₹42.00kno data
Paresh Mistry
Non Executive Non Independent Director3yrs₹961.00kno data
Janki Shah
Additional Director0.67yrno data8.67%
₹ 45.6m

4.2yrs

Average Tenure

66.5yo

Average Age

Experienced Board: 538964's board of directors are considered experienced (4.2 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Mercury Laboratories Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mercury Laboratories Limited
  • Ticker: 538964
  • Exchange: BSE
  • Founded: 1962
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹526.140m
  • Shares outstanding: 1.20m
  • Website: https://www.mercurylabs.com

Number of Employees


Location

  • Mercury Laboratories Limited
  • 2/13-14, Gorwa Industrial Estate
  • Gorwa Road
  • Vadodara
  • Gujarat
  • 390016
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
538964BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2015

Biography

Mercury Laboratories Limited develops, manufactures, markets, distributes, and sells pharmaceuticals, medicinal drugs, and formulations for mother and child healthcare in Asia, Africa, the Far East, and in ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/28 12:42
End of Day Share Price2020/10/28 00:00
Earnings2020/06/30
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.