NSEI:AJANTPHARM

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Executive Summary

Ajanta Pharma Limited, a specialty pharmaceutical formulation company, together with its subsidiaries, develops, manufactures, and markets finished dosages. More Details


Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.


Similar Companies

Share Price & News

How has Ajanta Pharma's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AJANTPHARM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.1%

AJANTPHARM

0.7%

IN Pharmaceuticals

1.5%

IN Market


1 Year Return

61.8%

AJANTPHARM

54.1%

IN Pharmaceuticals

2.2%

IN Market

Return vs Industry: AJANTPHARM exceeded the Indian Pharmaceuticals industry which returned 53.2% over the past year.

Return vs Market: AJANTPHARM exceeded the Indian Market which returned 1.9% over the past year.


Shareholder returns

AJANTPHARMIndustryMarket
7 Day3.1%0.7%1.5%
30 Day8.7%4.8%0.09%
90 Day12.9%16.2%7.9%
1 Year64.0%61.8%56.1%54.1%4.2%2.2%
3 Year43.4%40.3%29.7%26.2%2.2%-2.7%
5 Year10.6%6.8%-0.3%-3.9%37.1%26.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Ajanta Pharma undervalued compared to its fair value and its price relative to the market?

28.12x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: AJANTPHARM (₹1613.6) is trading above our estimate of fair value (₹791.08)

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


Price To Earnings Ratio

PE vs Industry: AJANTPHARM is poor value based on its PE Ratio (28.1x) compared to the IN Pharmaceuticals industry average (20.6x).

PE vs Market: AJANTPHARM is poor value based on its PE Ratio (28.1x) compared to the Indian market (16.1x).


Price to Earnings Growth Ratio

PEG Ratio: AJANTPHARM is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: AJANTPHARM is overvalued based on its PB Ratio (5.4x) compared to the IN Pharmaceuticals industry average (2.1x).


Next Steps

Future Growth

How is Ajanta Pharma forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

16.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AJANTPHARM's forecast earnings growth (16.9% per year) is above the savings rate (7.2%).

Earnings vs Market: AJANTPHARM's earnings (16.9% per year) are forecast to grow slower than the Indian market (26.5% per year).

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

Revenue vs Market: AJANTPHARM's revenue (12.5% per year) is forecast to grow faster than the Indian market (11.8% per year).

High Growth Revenue: AJANTPHARM's revenue (12.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AJANTPHARM's Return on Equity is forecast to be low in 3 years time (19.3%).


Next Steps

Past Performance

How has Ajanta Pharma performed over the past 5 years?

2.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AJANTPHARM has high quality earnings.

Growing Profit Margin: AJANTPHARM's current net profit margins (18.9%) are higher than last year (18.3%).


Past Earnings Growth Analysis

Earnings Trend: AJANTPHARM's earnings have grown by 2.2% per year over the past 5 years.

Accelerating Growth: AJANTPHARM's earnings growth over the past year (26.6%) exceeds its 5-year average (2.2% per year).

Earnings vs Industry: AJANTPHARM earnings growth over the past year (26.6%) exceeded the Pharmaceuticals industry 14.7%.


Return on Equity

High ROE: AJANTPHARM's Return on Equity (19.3%) is considered low.


Next Steps

Financial Health

How is Ajanta Pharma's financial position?


Financial Position Analysis

Short Term Liabilities: AJANTPHARM's short term assets (₹16.4B) exceed its short term liabilities (₹6.1B).

Long Term Liabilities: AJANTPHARM's short term assets (₹16.4B) exceed its long term liabilities (₹1.1B).


Debt to Equity History and Analysis

Debt Level: AJANTPHARM's debt to equity ratio (1.8%) is considered satisfactory.

Reducing Debt: AJANTPHARM's debt to equity ratio has reduced from 8.5% to 1.8% over the past 5 years.

Debt Coverage: AJANTPHARM's debt is well covered by operating cash flow (982.1%).

Interest Coverage: AJANTPHARM's interest payments on its debt are well covered by EBIT (86.8x coverage).


Balance Sheet


Next Steps

Dividend

What is Ajanta Pharma current dividend yield, its reliability and sustainability?

0.80%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AJANTPHARM's dividend (0.81%) is higher than the bottom 25% of dividend payers in the Indian market (0.56%).

High Dividend: AJANTPHARM's dividend (0.81%) is low compared to the top 25% of dividend payers in the Indian market (2.29%).


Stability and Growth of Payments

Stable Dividend: AJANTPHARM's dividend payments have been volatile in the past 10 years.

Growing Dividend: AJANTPHARM's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.7%), AJANTPHARM's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AJANTPHARM's dividends in 3 years are forecast to be well covered by earnings (23.5% payout ratio).


Next Steps

  • Explore strong dividend paying companies in the Pharmaceuticals & Biotech industry.

Management

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

6.8yrs

Average board tenure


CEO

Yogesh Agrawal (48 yo)

12.75yrs

Tenure

₹107,220,000

Compensation

Mr. Yogesh Mannalal Agrawal, M.B.A, has been Managing Director at Ajanta Pharma Ltd. since December 14, 2007. Mr. Agrawal is handling global business of Ajanta Pharma Ltd. He has handled various aspects of ...


CEO Compensation Analysis

Compensation vs Market: Yogesh's total compensation ($USD1.45M) is above average for companies of similar size in the Indian market ($USD590.11K).

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


Board Members

NamePositionTenureCompensationOwnership
Yogesh Agrawal
MD & Executive Director12.75yrs₹107.22m14.49%
₹ 20.1b
Rajesh Agrawal
Joint MD & Director7.42yrs₹107.22m14.49%
₹ 20.1b
Madhusudan Agrawal
Executive Vice Chairman of the Board12.75yrs₹16.76mno data
Chandrakant Khetan
Lead Independent Director3.08yrs₹751.00k0.00080%
₹ 1.1m
Ramesh Jhawar
Director of Ajanta Pharma USA Inc.no data₹25.50mno data
Mannalal Agrawal
Chairman of the Boardno data₹427.00k0.19%
₹ 270.7m
K. Viswanathan
Non Executive Independent Directorno data₹596.00kno data
Prabhakar Dalal
Non Executive Independent Director6.25yrs₹596.00k0.00039%
₹ 541.9k
Anjana Grewal
Non Executive Independent Director6.25yrs₹534.00kno data
Sam Gioskos
Director of Ajanta Pharma Philippines Inc.no datano data0.0043%
₹ 6.0m
Suttian Deerpaul
Director of Ajanta Pharma (Mauritius) Ltd.no datano datano data
Vinayak Muzumdar
Director of Ajanta Pharma (Mauritius) Ltd.no datano datano data

6.8yrs

Average Tenure

70yo

Average Age

Experienced Board: AJANTPHARM's board of directors are considered experienced (6.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: AJANTPHARM insiders have only sold shares 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

Ajanta Pharma Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ajanta Pharma Limited
  • Ticker: AJANTPHARM
  • Exchange: NSEI
  • Founded: 1973
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹138.942b
  • Shares outstanding: 87.26m
  • Website: https://www.ajantapharma.com

Number of Employees


Location

  • Ajanta Pharma Limited
  • Ajanta House
  • 98 Govt. Industrial Area
  • Mumbai
  • Maharashtra
  • 400067
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532331BSE (Mumbai Stock Exchange)YesEquity SharesININRJun 2000
AJANTPHARMNSEI (National Stock Exchange of India)YesEquity SharesININRJun 2000

Biography

Ajanta Pharma Limited, a specialty pharmaceutical formulation company, together with its subsidiaries, develops, manufactures, and markets finished dosages. The company markets and serves various therapeut ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/30 12:43
End of Day Share Price2020/09/30 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.