company background image
SMSL

SMS Lifesciences IndiaNSEI:SMSLIFE Stock Report

Last Price

₹740.25

Market Cap

₹2.2b

7D

-1.0%

1Y

24.6%

Updated

19 Jan, 2022

Data

Company Financials
SMSLIFE fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance4/6
Financial Health3/6
Dividends1/6

SMSLIFE Stock Overview

SMS Lifesciences India Limited manufactures, buys, imports, and sells active pharmaceutical ingredients (API) and its intermediates, organic and inorganic chemicals, and pharmaceuticals in India.

Price History & Performance

Summary of all time highs, changes and price drops for SMS Lifesciences India
Historical stock prices
Current Share Price₹740.25
52 Week High₹1,024.90
52 Week Low₹469.75
Beta1.05
1 Month Change-2.28%
3 Month Change-5.70%
1 Year Change24.63%
3 Year Change9.34%
5 Year Changen/a
Change since IPO448.94%

Recent News & Updates

Nov 23
SMS Lifesciences India's (NSE:SMSLIFE) Solid Profits Have Weak Fundamentals

SMS Lifesciences India's (NSE:SMSLIFE) Solid Profits Have Weak Fundamentals

Despite posting some strong earnings, the market for SMS Lifesciences India Limited's ( NSE:SMSLIFE ) stock hasn't...

Shareholder Returns

SMSLIFEIN PharmaceuticalsIN Market
7D-1.0%-1.2%0.2%
1Y24.6%9.5%34.4%

Return vs Industry: SMSLIFE exceeded the Indian Pharmaceuticals industry which returned 9.5% over the past year.

Return vs Market: SMSLIFE underperformed the Indian Market which returned 34.4% over the past year.

Price Volatility

Is SMSLIFE's price volatile compared to industry and market?
SMSLIFE volatility
SMSLIFE Average Weekly Movement7.3%
Pharmaceuticals Industry Average Movement5.9%
Market Average Movement6.8%
10% most volatile stocks in IN Market9.8%
10% least volatile stocks in IN Market4.1%

Stable Share Price: SMSLIFE is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: SMSLIFE's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1990523Talluri Veera Venkata Murthyhttps://www.smslife.in

SMS Lifesciences India Limited manufactures, buys, imports, and sells active pharmaceutical ingredients (API) and its intermediates, organic and inorganic chemicals, and pharmaceuticals in India. The company offers APIs in various therapeutic areas, such as antiulcer, antifungal, and erectile dysfunction. It also provides consultancy services.

SMS Lifesciences India Fundamentals Summary

How do SMS Lifesciences India's earnings and revenue compare to its market cap?
SMSLIFE fundamental statistics
Market Cap₹2.24b
Earnings (TTM)₹216.39m
Revenue (TTM)₹3.12b

10.3x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SMSLIFE income statement (TTM)
Revenue₹3.12b
Cost of Revenue₹2.25b
Gross Profit₹865.72m
Expenses₹649.33m
Earnings₹216.39m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)71.57
Gross Margin27.76%
Net Profit Margin6.94%
Debt/Equity Ratio45.2%

How did SMSLIFE perform over the long term?

See historical performance and comparison

Dividends

0.2%

Current Dividend Yield

2%

Payout Ratio

Valuation

Is SMS Lifesciences India undervalued compared to its fair value and its price relative to the market?

5.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SMSLIFE (₹740.25) is trading below our estimate of fair value (₹785.15)

Significantly Below Fair Value: SMSLIFE is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: SMSLIFE is good value based on its PE Ratio (10.3x) compared to the Indian Pharmaceuticals industry average (25.9x).

PE vs Market: SMSLIFE is good value based on its PE Ratio (10.3x) compared to the Indian market (23.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SMSLIFE is good value based on its PB Ratio (1.6x) compared to the IN Pharmaceuticals industry average (3.3x).


Future Growth

How is SMS Lifesciences India forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.2%

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 SMS Lifesciences India 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.


Past Performance

How has SMS Lifesciences India performed over the past 5 years?

8.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SMSLIFE has a large one-off gain of ₹77.8M impacting its September 30 2021 financial results.

Growing Profit Margin: SMSLIFE's current net profit margins (6.9%) are higher than last year (3.6%).


Past Earnings Growth Analysis

Earnings Trend: SMSLIFE's earnings have grown by 8.2% per year over the past 5 years.

Accelerating Growth: SMSLIFE's earnings growth over the past year (185.4%) exceeds its 5-year average (8.2% per year).

Earnings vs Industry: SMSLIFE earnings growth over the past year (185.4%) exceeded the Pharmaceuticals industry 29.7%.


Return on Equity

High ROE: SMSLIFE's Return on Equity (15.2%) is considered low.


Financial Health

How is SMS Lifesciences India's financial position?


Financial Position Analysis

Short Term Liabilities: SMSLIFE's short term assets (₹1.4B) do not cover its short term liabilities (₹1.4B).

Long Term Liabilities: SMSLIFE's short term assets (₹1.4B) exceed its long term liabilities (₹566.7M).


Debt to Equity History and Analysis

Debt Level: SMSLIFE's net debt to equity ratio (42%) is considered high.

Reducing Debt: SMSLIFE's debt to equity ratio has increased from 31.8% to 45.2% over the past 5 years.

Debt Coverage: SMSLIFE's debt is well covered by operating cash flow (56.5%).

Interest Coverage: SMSLIFE's interest payments on its debt are well covered by EBIT (5.9x coverage).


Balance Sheet


Dividend

What is SMS Lifesciences India current dividend yield, its reliability and sustainability?

0.20%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SMSLIFE's dividend (0.2%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.3%).

High Dividend: SMSLIFE's dividend (0.2%) is low compared to the top 25% of dividend payers in the Indian market (1.33%).


Stability and Growth of Payments

Stable Dividend: SMSLIFE has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SMSLIFE has only been paying a dividend for 2 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (2.1%), SMSLIFE'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?

4.6yrs

Average management tenure


CEO

Talluri Veera Venkata Murthy (61 yo)

4.58yrs

Tenure

₹24,122,000

Compensation

Mr. Talluri Veera Venkata Satyanarayana Murthy had been a Non-Executive Director at SMS Pharmaceuticals Limited since 2019 until May 28, 2021. Mr. Murthy serves as Managing Director of SMS Lifesciences Ind...


CEO Compensation Analysis

Compensation vs Market: Talluri Veera Venkata's total compensation ($USD323.44K) is above average for companies of similar size in the Indian market ($USD37.95K).

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


Leadership Team

Experienced Management: SMSLIFE's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: SMSLIFE's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: SMSLIFE 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

SMS Lifesciences India Limited's employee growth, exchange listings and data sources


Key Information

  • Name: SMS Lifesciences India Limited
  • Ticker: SMSLIFE
  • Exchange: NSEI
  • Founded: 1990
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: ₹2.238b
  • Shares outstanding: 3.02m
  • Website: https://www.smslife.in

Number of Employees


Location

  • SMS Lifesciences India Limited
  • Plot No. 19-III
  • Road No. 71
  • Hyderabad
  • 500096
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 16:00
End of Day Share Price2022/01/19 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.