NSEI:GLENMARK

Stock Analysis Report

Executive Summary

Glenmark Pharmaceuticals Limited, together with its subsidiaries, develops, manufactures, and markets pharmaceutical products in India, North America, Latin America, Europe, and internationally.

Snowflake

Fundamentals

Very undervalued with excellent balance sheet and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.4%

GLENMARK

1.4%

IN Pharmaceuticals

1.4%

IN Market


1 Year Return

-51.9%

GLENMARK

-20.0%

IN Pharmaceuticals

2.3%

IN Market

Return vs Industry: GLENMARK underperformed the Indian Pharmaceuticals industry which returned -20% over the past year.

Return vs Market: GLENMARK underperformed the Indian Market which returned 2.3% over the past year.


Shareholder returns

GLENMARKIndustryMarket
7 Day-0.4%1.4%1.4%
30 Day-22.1%-7.1%2.7%
90 Day-33.3%-5.2%-1.4%
1 Year-51.6%-51.9%-19.3%-20.0%4.3%2.3%
3 Year-68.6%-69.0%-27.3%-28.8%20.9%14.9%
5 Year-59.0%-59.6%-11.9%-14.6%41.2%28.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: GLENMARK (₹288.55) is trading below our estimate of fair value (₹592.89)

Significantly Undervalued: GLENMARK is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GLENMARK is good value based on its PE Ratio (10.6x) compared to the Pharmaceuticals industry average (15.6x).

PE vs Market: GLENMARK is good value based on its PE Ratio (10.6x) compared to the Indian market (13x).


Price to Earnings Growth Ratio

Low PEG Ratio: GLENMARK is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: GLENMARK is good value based on its PB Ratio (1.4x) compared to the IN Pharmaceuticals industry average (1.5x).


Next Steps

Future Growth

How is Glenmark Pharmaceuticals forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?

18.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GLENMARK's forecast earnings growth (18% per year) is above the savings rate (7.6%).

Earnings vs Market: GLENMARK's earnings (18% per year) are forecast to grow slower than the Indian market (18.1% per year).

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

Revenue vs Market: GLENMARK's revenue (9.4% per year) is forecast to grow slower than the Indian market (11.4% per year).

High Growth Revenue: GLENMARK's revenue (9.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: GLENMARK's Return on Equity is forecast to be low in 3 years time (13.2%).


Next Steps

Past Performance

How has Glenmark Pharmaceuticals performed over the past 5 years?

10.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GLENMARK's earnings have grown by 10.5% per year over the past 5 years.

Accelerating Growth: GLENMARK's earnings growth over the past year (14.4%) exceeds its 5-year average (10.5% per year).

Earnings vs Industry: GLENMARK earnings growth over the past year (14.4%) underperformed the Pharmaceuticals industry 14.4%.


Return on Equity

High ROE: GLENMARK's Return on Equity (12.8%) is considered low.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Glenmark Pharmaceuticals's financial position?


Financial Position Analysis

Short Term Liabilities: GLENMARK's short term assets (₹67.0B) exceeds its short term liabilities (₹40.2B)

Long Term Liabilities: GLENMARK's short term assets (67.0B) exceeds its long term liabilities (32.7B)


Debt to Equity History and Analysis

Debt Level: GLENMARK's debt to equity ratio (64.7%) is considered high

Reducing Debt: GLENMARK's debt to equity ratio has reduced from 108.9% to 64.7% over the past 5 years.

Debt Coverage: GLENMARK's debt is well covered by operating cash flow (34.2%).

Interest Coverage: GLENMARK's interest payments on its debt are well covered by EBIT (3.4x coverage).


Balance Sheet

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

Debt Coverage by Assets: GLENMARK's debt is covered by short term assets (assets are 1.727420x debt).


Next Steps

Dividend

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

0.69%

Current Dividend Yield


Dividend Yield vs Market

company0.7%marketbottom25%0.6%markettop25%2.5%industryaverage0.9%forecastin3Years0.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: GLENMARK's dividend (0.69%) is higher than the bottom 25% of dividend payers in the Indian market (0.61%).

High Dividend: GLENMARK's dividend (0.69%) is low compared to the top 25% of dividend payers in the Indian market (2.51%).

Stable Dividend: GLENMARK's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (7.4%), GLENMARK's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GLENMARK's dividends in 3 years are forecast to be thoroughly covered by earnings (7.3% payout ratio).


Next Steps

Management

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

3.0yrs

Average management tenure


CEO

Glenn Saldanha (49yo)

18.8yrs

Tenure

₹157,050,000

Compensation

Mr. Glenn Mario Saldanha has been the Managing Director and Chief Executive Officer of Glenmark Pharmaceuticals Limited since 2000. Mr. Saldanha serves as the Chief Executive Officer of Glenmark Pharmaceut ...


CEO Compensation Analysis

Compensation vs. Market: Glenn's total compensation ($USD2.20M) is above average for companies of similar size in the Indian market ($USD364.94K).

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


Management Age and Tenure

3.0yrs

Average Tenure

50.5yo

Average Age

Experienced Management: GLENMARK's management team is considered experienced (3 years average tenure).


Board Age and Tenure

8.2yrs

Average Tenure

65yo

Average Age

Experienced Board: GLENMARK's board of directors are considered experienced (8.2 years average tenure).


Insider Trading

Insider Buying: GLENMARK insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buy₹671,68701 Oct 19
Robin Pinto
EntityIndividual
Shares2,000
Max Price₹335.84
Buy₹1,026,75401 Oct 19
Cherylann Pinto
EntityIndividual
Role
Member of the Board of Directors
Director of Corporate Affairs & Executive Director
Shares3,000
Max Price₹342.25
Buy₹1,730,47427 Sep 19
Cherylann Pinto
EntityIndividual
Role
Member of the Board of Directors
Director of Corporate Affairs & Executive Director
Shares5,000
Max Price₹346.09
Buy₹695,63227 Sep 19
Robin Pinto
EntityIndividual
Shares2,000
Max Price₹347.82
Buy₹352,52524 Sep 19
Robin Pinto
EntityIndividual
Shares1,000
Max Price₹352.53
Buy₹751,26822 Aug 19
Robin Pinto
EntityIndividual
Shares2,000
Max Price₹375.63
Buy₹5,010,92101 Jul 19
Glenn Saldanha
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares11,080
Max Price₹452.25
Buy₹1,940,66101 Jul 19
Cherylann Pinto
EntityIndividual
Role
Member of the Board of Directors
Director of Corporate Affairs & Executive Director
Shares4,300
Max Price₹452.76
Buy₹3,476,18127 Jun 19
Cherylann Pinto
EntityIndividual
Role
Member of the Board of Directors
Director of Corporate Affairs & Executive Director
Shares7,440
Max Price₹472.44
Buy₹10,039,41727 Jun 19
Glenn Saldanha
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares21,540
Max Price₹466.08
Buy₹940,58027 Jun 19
Robin Pinto
EntityIndividual
Shares2,000
Max Price₹470.29
Buy₹13,386,36927 Jun 19
Blanche Saldanha
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares28,700
Max Price₹475.76
Buy₹14,017,76813 Jun 19
Blanche Saldanha
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares26,505
Max Price₹532.67
Buy₹1,172,05021 Feb 19
Cherylann Pinto
EntityIndividual
Role
Member of the Board of Directors
Director of Corporate Affairs & Executive Director
Shares2,000
Max Price₹586.03
Buy₹1,451,95721 Feb 19
Robin Pinto
EntityIndividual
Shares2,500
Max Price₹580.78
Sell₹1,046,95902 Jan 19
Alok Chopra
EntityIndividual
Shares1,526
Max Price₹686.08
Buy₹10,011,04106 Dec 18
Glenn Saldanha
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares16,075
Max Price₹622.80

Ownership Breakdown


Management Team

  • V. Mani (54yo)

    Global CFO & Executive Director

    • Tenure: 1.4yrs
    • Compensation: ₹45.60m
  • Michael Buschle (59yo)

    Chief Scientific Mentor

    • Tenure: 3yrs
  • Glenn Saldanha (49yo)

    Chairman

    • Tenure: 18.8yrs
    • Compensation: ₹157.05m
  • Cheryl Pinto (52yo)

    Director of Corporate Affairs & Executive Director

    • Tenure: 20yrs
    • Compensation: ₹42.92m
  • T. Grover (78yo)

    Senior Vice President of Corporate Relations

    • Tenure: 0yrs
  • Achin Gupta (43yo)

    Senior Vice President and Head of Asia & CIS Business

    • Tenure: 4.1yrs
  • P. Reddy (47yo)

    Executive Vice President and Global Head Business Development

    • Tenure: 0yrs
  • Jayaram Philkana (49yo)

    President & Global Chief Human Resources Officer

    • Tenure: 0yrs
  • Meera Vanjari

    Senior VP of Legal & General Counsel

    • Tenure: 0yrs
  • Harish Kuber

    Company Secretary & Compliance Officer

    • Tenure: 2.7yrs
    • Compensation: ₹3.27m

Board Members

  • V. Mani (54yo)

    Global CFO & Executive Director

    • Tenure: 1.4yrs
    • Compensation: ₹45.60m
  • Brian Tempest (72yo)

    Non-Executive Director

    • Tenure: 7.8yrs
    • Compensation: ₹500.00k
  • Glenn Saldanha (49yo)

    Chairman

    • Tenure: 18.8yrs
    • Compensation: ₹157.05m
  • Blanche Saldanha (79yo)

    Non Executive Director

    • Tenure: 14.2yrs
    • Compensation: ₹400.00k
  • Cheryl Pinto (52yo)

    Director of Corporate Affairs & Executive Director

    • Tenure: 20yrs
    • Compensation: ₹42.92m
  • Julio Ribeiro (90yo)

    Non-Executive Director

    • Tenure: 20.2yrs
    • Compensation: ₹1.70m
  • Sridhar Gorthi (46yo)

    Non-Executive Director

    • Tenure: 4.5yrs
    • Compensation: ₹1.10m
  • Rajesh Desai (61yo)

    Non Executive Director

    • Tenure: 7.9yrs
    • Compensation: ₹1.00m
  • Devendra Mehta (82yo)

    Non-Executive Director

    • Tenure: 10.2yrs
    • Compensation: ₹1.60m
  • Bernard Munos (69yo)

    Non-Executive Director

    • Tenure: 7.8yrs
    • Compensation: ₹400.00k

Company Information

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


Key Information

  • Name: Glenmark Pharmaceuticals Limited
  • Ticker: GLENMARK
  • Exchange: NSEI
  • Founded: 1977
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: ₹80.672b
  • Shares outstanding: 282.17m
  • Website: https://www.glenmarkpharma.com

Number of Employees


Location

  • Glenmark Pharmaceuticals Limited
  • Glenmark House
  • B.D. Sawant Marg
  • Mumbai
  • Maharashtra
  • 400099
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532296BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2000
GLENMARKNSEI (National Stock Exchange of India)YesEquity SharesININRFeb 2000

Biography

Glenmark Pharmaceuticals Limited, together with its subsidiaries, develops, manufactures, and markets pharmaceutical products in India, North America, Latin America, Europe, and internationally. The compan ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 12:46
End of Day Share Price2019/10/17 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.