NSEI:APLLTD

Stock Analysis Report

Executive Summary

Alembic Pharmaceuticals Limited, an integrated pharmaceutical company, develops, manufactures, markets, and exports pharmaceutical products in India and internationally.

Snowflake

Fundamentals

Solid track record with adequate balance sheet.


Similar Companies

Share Price & News

How has Alembic Pharmaceuticals's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.6%

APLLTD

3.9%

IN Pharmaceuticals

3.8%

IN Market


1 Year Return

-6.6%

APLLTD

-17.5%

IN Pharmaceuticals

6.0%

IN Market

Return vs Industry: APLLTD exceeded the Indian Pharmaceuticals industry which returned -17.5% over the past year.

Return vs Market: APLLTD underperformed the Indian Market which returned 6% over the past year.


Shareholder returns

APLLTDIndustryMarket
7 Day1.6%3.9%3.8%
30 Day5.0%-4.4%2.9%
90 Day2.6%-2.0%2.9%
1 Year-5.6%-6.6%-16.8%-17.5%8.2%6.0%
3 Year-17.5%-19.6%-25.4%-27.0%23.0%16.7%
5 Year39.1%34.0%-10.5%-13.2%43.6%30.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Alembic Pharmaceuticals undervalued compared to its fair value and its price relative to the market?

16.61x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: APLLTD (₹544) is trading above our estimate of fair value (₹271.31)

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


Price To Earnings Ratio

PE vs Industry: APLLTD is poor value based on its PE Ratio (16.6x) compared to the Pharmaceuticals industry average (15.7x).

PE vs Market: APLLTD is poor value based on its PE Ratio (16.6x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: APLLTD is poor value based on its PEG Ratio (3.4x)


Price to Book Ratio

PB vs Industry: APLLTD is overvalued based on its PB Ratio (3.8x) compared to the IN Pharmaceuticals industry average (1.5x).


Next Steps

Future Growth

How is Alembic Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

4.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: APLLTD's forecast earnings growth (4.9% per year) is below the savings rate (7.6%).

Earnings vs Market: APLLTD's earnings (4.9% per year) are forecast to grow slower than the Indian market (18% per year).

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

Revenue vs Market: APLLTD's revenue (12.2% per year) is forecast to grow faster than the Indian market (11.3% per year).

High Growth Revenue: APLLTD's revenue (12.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: APLLTD's Return on Equity is forecast to be low in 3 years time (16.9%).


Next Steps

Past Performance

How has Alembic Pharmaceuticals performed over the past 5 years?

8.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: APLLTD's earnings have grown by 8.6% per year over the past 5 years.

Accelerating Growth: APLLTD's earnings growth over the past year (41.5%) exceeds its 5-year average (8.6% per year).

Earnings vs Industry: APLLTD earnings growth over the past year (41.5%) exceeded the Pharmaceuticals industry 14.4%.


Return on Equity

High ROE: APLLTD's Return on Equity (22.5%) is considered high.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Alembic Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: APLLTD's short term assets (₹19.6B) exceeds its short term liabilities (₹14.9B)

Long Term Liabilities: APLLTD's short term assets (19.6B) exceeds its long term liabilities (5.7B)


Debt to Equity History and Analysis

Debt Level: APLLTD's debt to equity ratio (41.5%) is considered high

Reducing Debt: APLLTD's debt to equity ratio has increased from 16.3% to 41.5% over the past 5 years.

Debt Coverage: APLLTD's debt is well covered by operating cash flow (72%).

Interest Coverage: APLLTD's interest payments on its debt are well covered by EBIT (47.2x coverage).


Balance Sheet

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

Debt Coverage by Assets: APLLTD's debt is covered by short term assets (assets are 1.734910x debt).


Next Steps

Dividend

What is Alembic Pharmaceuticals's current dividend yield, its reliability and sustainability?

1.01%

Current Dividend Yield


Dividend Yield vs Market

company1.0%marketbottom25%0.6%markettop25%2.4%industryaverage0.9%forecastin3Years1.0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: APLLTD's dividend (1.01%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: APLLTD's dividend (1.01%) is low compared to the top 25% of dividend payers in the Indian market (2.42%).

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

Growing Dividend: APLLTD's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (16.8%), APLLTD's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: APLLTD's dividends in 3 years are forecast to be well covered by earnings (18.6% payout ratio).


Next Steps

Management

What is the CEO of Alembic Pharmaceuticals's salary, the management and board of directors tenure and is there insider trading?

4.0yrs

Average management tenure


CEO

Chirayu Amin (73yo)

3.5yrs

Tenure

₹255,000,000

Compensation

Mr. Chirayu Ramanbha Amin, M.B.A. (U.S.A.), has been Chief Executive Officer of Alembic Pharmaceuticals Limited since April 27, 2016. Mr. Amin served as Managing Director of Alembic Pharmaceuticals Limited ...


CEO Compensation Analysis

Compensation vs. Market: Chirayu's total compensation ($USD3.59M) is about average for companies of similar size in the Indian market ($USD621.42K).

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


Management Age and Tenure

4.0yrs

Average Tenure

58yo

Average Age

Experienced Management: APLLTD's management team is considered experienced (4 years average tenure).


Board Age and Tenure

8.6yrs

Average Tenure

62.5yo

Average Age

Experienced Board: APLLTD's board of directors are considered experienced (8.6 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.


Recent Insider Transactions

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Ownership Breakdown


Management Team

  • Chirayu Amin (73yo)

    Executive Chairman & CEO

    • Tenure: 3.5yrs
    • Compensation: ₹255.00m
  • Vinod Kamath

    President of Operations

    • Tenure: 0yrs
  • Udit Amin (39yo)

    Chief Business Development Officer

    • Tenure: 0yrs
    • Compensation: ₹8.30m
  • Pranav Amin (44yo)

    MD & Executive Director

    • Tenure: 8.6yrs
    • Compensation: ₹174.50m
  • Shaunak Amin (41yo)

    MD & Executive Director

    • Tenure: 6.4yrs
    • Compensation: ₹107.00m
  • Raj Kumar Baheti (60yo)

    Director of Finance

    • Tenure: 9.3yrs
    • Compensation: ₹36.50m
  • J. Raman (61yo)

    Chief Scientific Officer

    • Tenure: 0yrs
    • Compensation: ₹8.41m
  • Gautam Chatterjee (58yo)

    Senior Vice President

    • Tenure: 0yrs
    • Compensation: ₹8.12m
  • Chandrahas Shetty

    Senior Vice President of Human Resources

    • Tenure: 0yrs
  • Charandeep Saluja

    Company Secretary & Compliance Officer

    • Tenure: 1.3yrs
    • Compensation: ₹1.09m

Board Members

  • Archana Hingorani (54yo)

    Independent Non-Executive Director

    • Tenure: 4.7yrs
    • Compensation: ₹1.40m
  • Krishnapuram Ramanathan (79yo)

    Independent Non-Executive Director

    • Tenure: 8.6yrs
    • Compensation: ₹1.40m
  • Pranav Parikh (76yo)

    Independent Non-Executive Director

    • Tenure: 8.6yrs
    • Compensation: ₹1.30m
  • Chirayu Amin (73yo)

    Executive Chairman & CEO

    • Tenure: 3.5yrs
    • Compensation: ₹255.00m
  • Pranav Amin (44yo)

    MD & Executive Director

    • Tenure: 8.6yrs
    • Compensation: ₹174.50m
  • Shaunak Amin (41yo)

    MD & Executive Director

    • Tenure: 6.4yrs
    • Compensation: ₹107.00m
  • Paresh Saraiya (65yo)

    Independent Non-Executive Director

    • Tenure: 8.6yrs
    • Compensation: ₹1.40m
  • Raj Kumar Baheti (60yo)

    Director of Finance

    • Tenure: 9.3yrs
    • Compensation: ₹36.50m

Company Information

Alembic Pharmaceuticals Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Alembic Pharmaceuticals Limited
  • Ticker: APLLTD
  • Exchange: NSEI
  • Founded: 1907
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹102.553b
  • Shares outstanding: 188.52m
  • Website: https://www.alembicpharmaceuticals.com

Number of Employees


Location

  • Alembic Pharmaceuticals Limited
  • Alembic Road
  • Vadodara
  • Gujarat
  • 390003
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
533573BSE (Mumbai Stock Exchange)YesEquity SharesININRSep 2011
APLLTDNSEI (National Stock Exchange of India)YesEquity SharesININRSep 2011

Biography

Alembic Pharmaceuticals Limited, an integrated pharmaceutical company, develops, manufactures, markets, and exports pharmaceutical products in India and internationally. It offers active pharmaceutical ing ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 12:49
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.