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Strides Pharma Science

NSEI:STAR
Snowflake Description

Reasonable growth potential with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
STAR
NSEI
₹42B
Market Cap
  1. Home
  2. IN
  3. Pharmaceuticals & Biotech
Company description

Strides Pharma Science Limited, a pharmaceutical company, develops and manufactures finished dosage formulations in Africa, Australia, Asia, North America, and Europe. The last earnings update was 19 days ago. More info.


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STAR Share Price and Events
7 Day Returns
0.4%
NSEI:STAR
-2.3%
IN Pharmaceuticals
1.4%
IN Market
1 Year Returns
-43.2%
NSEI:STAR
4.4%
IN Pharmaceuticals
3.2%
IN Market
STAR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Strides Pharma Science (STAR) 0.4% 9.7% -0.7% -43.2% -66.2% -53%
IN Pharmaceuticals -2.3% -1.5% -7.8% 4.4% 2.4% 160.4%
IN Market 1.4% 4.4% -8% 3.2% 71.3% 212.1%
1 Year Return vs Industry and Market
  • STAR underperformed the Pharmaceuticals industry which returned 4.4% over the past year.
  • STAR underperformed the Market in India which returned 3.2% over the past year.
Price Volatility
STAR
Industry
5yr Volatility vs Market

Value

 Is Strides Pharma Science undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Strides Pharma Science to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Strides Pharma Science.

NSEI:STAR Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 9 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 13.5%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NSEI:STAR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.7%
Equity Risk Premium S&P Global 7.3%
Pharmaceuticals Unlevered Beta Simply Wall St/ S&P Global 0.41
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.414 (1 + (1- 35%) (69.02%))
0.6
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.73% + (0.8 * 7.27%)
13.55%

Discounted Cash Flow Calculation for NSEI:STAR using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Strides Pharma Science is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

NSEI:STAR DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (INR, Millions) 3,627.00 2,419.75 3,987.50 4,665.38 5,411.84
Source Analyst x2 Analyst x4 Analyst x2 Est @ 17%, capped from 19.94% Est @ 16%, capped from 19.94%
Present Value
Discounted (@ 13.55%)
3,194.30 1,876.84 2,723.86 2,806.72 2,867.38
Present value of next 5 years cash flows ₹13,469.10
NSEI:STAR DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= ₹5,411.84 × (1 + 7.73%) ÷ (13.55% – 7.73%)
₹100,243.64
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= ₹100,243.64 ÷ (1 + 13.55%)5
₹53,112.61
NSEI:STAR Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= ₹13,469.10 + ₹53,112.61
₹66,581.71
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹66,581.71 / 89.55
₹743.52
NSEI:STAR Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹743.52
Current discount Discount to share price of ₹464.65
= -1 x (₹464.65 - ₹743.52) / ₹743.52
37.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Strides Pharma Science is available for.
Intrinsic value
38%
Share price is ₹464.65 vs Future cash flow value of ₹743.52
Current Discount Checks
For Strides Pharma Science to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Strides Pharma Science's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Strides Pharma Science's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Strides Pharma Science's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Strides Pharma Science's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NSEI:STAR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-09-30) in INR ₹1.55
NSEI:STAR Share Price ** NSEI (2018-11-16) in INR ₹464.65
India Pharmaceuticals Industry PE Ratio Median Figure of 112 Publicly-Listed Pharmaceuticals Companies 20.76x
India Market PE Ratio Median Figure of 2,709 Publicly-Listed Companies 17.3x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Strides Pharma Science.

NSEI:STAR PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NSEI:STAR Share Price ÷ EPS (both in INR)

= 464.65 ÷ 1.55

300.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Strides Pharma Science is overvalued based on earnings compared to the IN Pharmaceuticals industry average.
  • Strides Pharma Science is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Strides Pharma Science's expected growth come at a high price?
Raw Data
NSEI:STAR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 300.48x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
68.5%per year
India Pharmaceuticals Industry PEG Ratio Median Figure of 34 Publicly-Listed Pharmaceuticals Companies 1.33x
India Market PEG Ratio Median Figure of 649 Publicly-Listed Companies 1.13x

*Line of best fit is calculated by linear regression .

NSEI:STAR PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 300.48x ÷ 68.5%

4.38x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Strides Pharma Science is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Strides Pharma Science's assets?
Raw Data
NSEI:STAR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-09-30) in INR ₹263.83
NSEI:STAR Share Price * NSEI (2018-11-16) in INR ₹464.65
India Pharmaceuticals Industry PB Ratio Median Figure of 129 Publicly-Listed Pharmaceuticals Companies 2.06x
India Market PB Ratio Median Figure of 3,498 Publicly-Listed Companies 1.23x
NSEI:STAR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NSEI:STAR Share Price ÷ Book Value per Share (both in INR)

= 464.65 ÷ 263.83

1.76x

* Primary Listing of Strides Pharma Science.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Strides Pharma Science is good value based on assets compared to the IN Pharmaceuticals industry average.
X
Value checks
We assess Strides Pharma Science's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Pharmaceuticals industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Pharmaceuticals industry average (and greater than 0)? (1 check)
  5. Strides Pharma Science has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Strides Pharma Science expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
68.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Strides Pharma Science expected to grow at an attractive rate?
  • Strides Pharma Science's earnings growth is expected to exceed the low risk savings rate of 7.7%.
Growth vs Market Checks
  • Strides Pharma Science's earnings growth is expected to exceed the India market average.
  • Strides Pharma Science's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
Raw Data
NSEI:STAR Future Growth Rates Data Sources
Data Point Source Value (per year)
NSEI:STAR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 68.5%
NSEI:STAR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 13.3%
India Pharmaceuticals Industry Earnings Growth Rate Market Cap Weighted Average 21.5%
India Pharmaceuticals Industry Revenue Growth Rate Market Cap Weighted Average 12.9%
India Market Earnings Growth Rate Market Cap Weighted Average 18.5%
India Market Revenue Growth Rate Market Cap Weighted Average 11.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NSEI:STAR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NSEI:STAR Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 39,333 5,203 3,383 6
2020-03-31 34,707 3,932 2,460 9
2019-03-31 30,465 4,212 1,062 9
NSEI:STAR Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-09-30 28,090 139
2018-06-30 28,451 415
2018-03-31 28,394 1,871 503
2017-12-31 35,810 1,050
2017-09-30 36,593 1,124
2017-06-30 35,357 1,712
2017-03-31 27,554 2,881 2,335
2016-12-31 37,237 2,840
2016-09-30 36,573 2,410
2016-06-30 34,189 2,168
2016-03-31 28,622 732 1,317
2015-12-31 24,901 1,152

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Strides Pharma Science's earnings are expected to grow significantly at over 20% yearly.
  • Strides Pharma Science's revenue is expected to grow by 13.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NSEI:STAR Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from Strides Pharma Science Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:STAR Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 37.84 50.40 30.96 6.00
2020-03-31 28.37 40.40 22.80 8.00
2019-03-31 13.16 15.40 10.40 4.00
NSEI:STAR Past Financials Data
Date (Data in INR Millions) EPS *
2018-09-30 1.55
2018-06-30 4.69
2018-03-31 5.63
2017-12-31 11.73
2017-09-30 12.56
2017-06-30 18.95
2017-03-31 26.13
2016-12-31 36.09
2016-09-30 27.57
2016-06-30 25.46
2016-03-31 15.94
2015-12-31 15.33

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Strides Pharma Science is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Strides Pharma Science's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Strides Pharma Science has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Strides Pharma Science performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Strides Pharma Science's growth in the last year to its industry (Pharmaceuticals).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Strides Pharma Science has delivered over 20% year on year earnings growth in the past 5 years.
  • Strides Pharma Science's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Strides Pharma Science's 1-year earnings growth is negative, it can't be compared to the IN Pharmaceuticals industry average.
Earnings and Revenue History
Strides Pharma Science's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Strides Pharma Science Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:STAR Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-09-30 28,090.28 138.86 5,419.92
2018-06-30 28,450.60 415.20 4,363.10
2018-03-31 28,393.78 503.46 5,334.32
2017-12-31 35,810.42 1,049.95 6,920.74
2017-09-30 36,593.12 1,123.65 6,930.84
2017-06-30 35,356.70 1,711.70 6,063.60
2017-03-31 27,554.43 2,335.12 4,860.16
2016-12-31 37,236.83 2,840.02 6,983.86
2016-09-30 36,572.93 2,409.82 6,759.96
2016-06-30 34,188.83 2,167.82 6,060.76
2016-03-31 28,621.87 1,316.73 4,026.36
2015-12-31 24,901.45 1,152.38 5,508.35
2015-09-30 12,961.52 859.76 3,366.92
2015-06-30 12,105.02 244.40 3,206.19
2015-03-31 11,958.49 15.66 1,993.68
2014-03-31 10,727.69 -1,867.06 2,328.86
2012-12-31 9,617.62 7,123.82 2,129.80
2012-09-30 22,947.15 8,534.55 5,294.71
2012-06-30 24,939.32 8,474.30 5,475.06
2012-03-31 25,645.12 8,258.41 5,596.68
2011-12-31 25,500.41 2,244.75 5,587.92

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Strides Pharma Science has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Strides Pharma Science used its assets less efficiently than the IN Pharmaceuticals industry average last year based on Return on Assets.
  • Strides Pharma Science's use of capital has not improved over the past 3 years (Return on Capital Employed).
X
Past performance checks
We assess Strides Pharma Science's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Pharmaceuticals industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Strides Pharma Science has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Strides Pharma Science's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Strides Pharma Science's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Strides Pharma Science is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Strides Pharma Science's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Strides Pharma Science's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Strides Pharma Science Company Filings, last reported 1 month ago.

NSEI:STAR Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-09-30 25,363.50 28,717.40 6,831.50
2018-06-30 26,092.10 25,547.70 6,496.20
2018-03-31 26,092.09 25,205.46 6,071.82
2017-12-31 28,562.90 40,282.10 14,959.00
2017-09-30 28,562.90 40,282.10 14,959.00
2017-06-30 28,744.20 30,545.10 16,516.70
2017-03-31 28,823.24 37,349.24 16,018.65
2016-12-31 26,212.10 34,781.40 14,404.70
2016-09-30 26,212.10 34,781.40 14,404.70
2016-06-30 29,059.89 36,677.34 15,183.73
2016-03-31 27,080.79 35,482.13 15,253.43
2015-12-31 12,058.93 21,811.24 6,142.36
2015-09-30 12,058.93 21,811.24 6,142.36
2015-06-30 11,636.31 8,917.07 7,081.74
2015-03-31 11,636.31 8,917.07 7,081.74
2014-03-31 10,824.94 5,466.16 6,323.82
2012-12-31 20,980.97 15,944.61 1,657.99
2012-09-30 20,028.63 11,885.92 1,378.84
2012-06-30 20,028.63 11,885.92 1,378.84
2012-03-31 14,179.31 25,664.11 2,597.25
2011-12-31 14,179.33 26,425.25 2,597.25
  • Strides Pharma Science's level of debt (113.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (64.8% vs 113.2% today).
  • Debt is not well covered by operating cash flow (6.5%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 3.2x coverage).
X
Financial health checks
We assess Strides Pharma Science's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Strides Pharma Science has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Strides Pharma Science's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.43%
Current annual income from Strides Pharma Science dividends. Estimated to be 0.91% next year.
If you bought ₹2,000 of Strides Pharma Science shares you are expected to receive ₹9 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Strides Pharma Science's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.5%).
  • Strides Pharma Science's dividend is below the markets top 25% of dividend payers in India (1.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NSEI:STAR Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
India Pharmaceuticals Industry Average Dividend Yield Market Cap Weighted Average of 68 Stocks 0.7%
India Market Average Dividend Yield Market Cap Weighted Average of 1388 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.2%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
India Top 25% Dividend Yield 75th Percentile 1.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NSEI:STAR Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 5.18 5.00
2020-03-31 4.79 8.00
2019-03-31 2.65 6.00
NSEI:STAR Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2018-08-31 2.000 0.445
2017-08-28 4.500 0.754
2016-07-25 4.000 0.382
2016-05-16 4.000 0.357
2015-07-07 108.000 9.217
2015-06-01 3.000 0.260
2015-05-22 3.000 0.247
2014-05-23 5.000 0.639
2013-02-28 2.000 0.325
2012-07-27 2.000 0.213
2012-05-30 2.000 0.275
2011-04-25 1.500 0.364
2011-02-24 1.500 0.414
2010-04-22 1.500 0.372
2010-02-24 1.500 0.449
2009-10-30 0.000 0.000
2009-07-30 0.000 0.000
2009-04-24 0.000 0.000
2009-03-02 0.000 0.000
2009-02-26 0.000 0.000
2009-02-25 0.000 0.000
2008-11-20 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Strides Pharma Science's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (0.8x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (6.7x coverage).
X
Income/ dividend checks
We assess Strides Pharma Science's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Strides Pharma Science afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Strides Pharma Science has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Strides Pharma Science's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Arun Kumar
COMPENSATION ₹105,962,275
TENURE AS CEO 0.5 years
CEO Bio

Mr. Arun Kumar, B.Com. founded Strides Pharma Science Limited and has been its Group CEO and Managing Director since May 2018. Mr. Kumar served as Managing Director of Strides Pharma Science Limited from June 1990 to May 18, 2017. He served as Group Chief Executive Officer of Strides Pharma Science Limited. He served as the Chairman of Strides Pharma Science Limited since May 18, 2017 until May 2018. Mr. Kumar served as the Chairman of Strides Pharma Science Limited from July 2000 to December 2005. He served as an Executive Vice Chairman of Strides Pharma Science Limited since December 21, 2005. He has been an Executive Director of Strides Pharma Science Limited since June 28, 1990. Mr. Kumar serves as a Board Observer at Oncobiologics, Inc and served as its Advisor. Mr. Kumar is the Founder and Promoter of Strides Africa Ltd. He served as General Manager of British Pharmaceuticals Laboratories Ltd. In 1985, he started Strides Consultants. He served as a Non-Executive Director of Ascent Pharmahealth Ltd since July 31, 2008. He serves as a Director of Strides Research & Specialty Chemicals Limited, Quantum Life Sciences Pvt. Ltd., Net Equity Ventures Pvt. Ltd., Vedic Elements Pvt. Ltd. and Arcolab (India) Pvt. Ltd. He served as a Strategic Advisor on the advisory board of IndusAge Partners until 2018. He served as a Director of Everonn Education Limited from January 16, 2006 to July 10, 2006. Mr. Kumar served as a Director of Sequent Scientific, Ltd. He has over 21 years of experience in the pharmaceutical industry.

CEO Compensation
  • Arun's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Arun's remuneration is higher than average for companies of similar size in India.
Management Team Tenure

Average tenure of the Strides Pharma Science management team in years:

1.5
Average Tenure
  • The average tenure for the Strides Pharma Science management team is less than 2 years, this suggests a new team.
Management Team

Arun Kumar

TITLE
Founder
COMPENSATION
₹106M
TENURE
0.5 yrs

Badree Komandur

TITLE
Group CFO
COMPENSATION
₹26M
AGE
46
TENURE
5.3 yrs

Manjula Ramamurthy

TITLE
Compliance Officer & Company Secretary
COMPENSATION
₹3M
TENURE
1.5 yrs

Sridhar Rao

TITLE
President of Quality Assurance
COMPENSATION
₹900K

P. V. Ramaraju

TITLE
COO & Global Head of Manufacturing

A. Narayanan

TITLE
Chief Information Technology Officer

C. Sundar

TITLE
Executive Vice President of Operations

Umesh Kale

TITLE
Chief Quality Officer

Vinod Nair

TITLE
Senior Vice President of Institutional Business

Venkat Iyer

TITLE
Chief Executive Officer of Agila Specialities
COMPENSATION
₹13M
Board of Directors Tenure

Average tenure and age of the Strides Pharma Science board of directors in years:

4.3
Average Tenure
67
Average Age
  • The tenure for the Strides Pharma Science board of directors is about average.
Board of Directors

Deepak Vaidya

TITLE
Chairperson
COMPENSATION
₹600K
AGE
73
TENURE
0.5 yrs

Arun Kumar

TITLE
Founder
COMPENSATION
₹106M
TENURE
28.4 yrs

Badree Komandur

TITLE
Group CFO
COMPENSATION
₹26M
AGE
46
TENURE
1.5 yrs

Dennis Bastas

TITLE
Executive Chairman of Arrow Pharmaceuticals

Shashank Sinha

TITLE
Chairman of Board at Strides Pharma Global
COMPENSATION
₹58M
AGE
54
TENURE
0.8 yrs

Srinivasan Sridhar

TITLE
Independent Director
COMPENSATION
₹650K
AGE
67
TENURE
6.3 yrs

Sangita Reddy

TITLE
Independent Director
COMPENSATION
₹300K
AGE
56
TENURE
4.8 yrs

Bharat Shah

TITLE
Independent Director
COMPENSATION
₹700K
AGE
71
TENURE
4.3 yrs

Elias Neto

TITLE
Member of Scientific Advisory Board

Gopakumar Nair

TITLE
Member of Scientific Advisory Board
AGE
76
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Strides Pharma Science insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
21. Sep 18 Buy Devendra Estate Private Limited Company 21. Aug 18 21. Aug 18 18,000 ₹39.01 ₹702,114
12. Sep 18 Buy Shashank Sinha Individual 06. Sep 18 06. Sep 18 15,000 ₹497.31 ₹7,459,611
11. Sep 18 Sell Abusha Investment And Management Services LLP Company 06. Sep 18 06. Sep 18 -400,000 ₹492.05 ₹-196,820,509
17. Jul 18 Buy Bharat Shah Individual 05. Jul 18 10. Jul 18 25,000 ₹410.21 ₹10,255,330
15. Jun 18 Buy Akhilesh Kumar Individual 31. May 18 31. May 18 3,750 ₹402.08 ₹1,507,799
20. Feb 18 Sell S. Kumar Individual 14. Feb 18 14. Feb 18 -130,000 ₹727.82 ₹-94,616,872
20. Feb 18 Sell Devendra Estate Private Limited Company 19. Feb 18 19. Feb 18 -200,000 ₹731.92 ₹-146,384,331
20. Feb 18 Sell Abusha Investment And Management Services LLP Company 19. Feb 18 19. Feb 18 -100,000 ₹731.92 ₹-73,192,101
20. Feb 18 Sell Sajjan D. Individual 14. Feb 18 14. Feb 18 -70,000 ₹727.82 ₹-50,947,546
19. Feb 18 Buy Arun Kumar Individual 19. Feb 18 19. Feb 18 300,000 ₹734.00 ₹220,199,983
16. Feb 18 Buy Arun Kumar Individual 14. Feb 18 14. Feb 18 200,000 ₹733.97 ₹146,794,454
23. Feb 18 Buy Shashank Sinha Individual 15. Feb 18 15. Feb 18 1,500 ₹717.50 ₹1,076,253
X
Management checks
We assess Strides Pharma Science's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Strides Pharma Science has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

External News
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Simply Wall St News

Is Strides Pharma Science Limited's (NSE:STAR) Balance Sheet Strong Enough To Weather A Storm?

Strides Pharma Science Limited (NSE:STAR) is a small-cap stock with a market capitalization of ₹38.5b. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is

Simply Wall St -

Could Strides Pharma Science Limited's (NSE:STAR) Investor Composition Impacts Your Returns?

The big shareholder groups in Strides Pharma Science Limited (NSE:STAR) have power over the company. … Strides Pharma Science is a smaller company with a market capitalization of ₹38.8b, so it may still be flying under the radar of many institutional investors. … See our latest analysis for Strides Pharma Science

Simply Wall St -

How Did Strides Pharma Science Limited's (NSE:STAR) 2.69% ROE Fare Against The Industry?

Strides Pharma Science Limited (NSE:STAR) delivered a less impressive 2.69% ROE over the past year, compared to the 10.89% return generated by its industry. … An investor may attribute an inferior ROE to a relatively inefficient performance, and whilst this can often be the case, knowing the nuts and bolts of the ROE calculation may change that perspective and give you a deeper insight into STAR's past performance. … View our latest analysis for Strides Pharma Science

Simply Wall St -

Is Strides Pharma Science Limited's (NSE:STAR) Balance Sheet A Threat To Its Future?

Investors are always looking for growth in small-cap stocks like Strides Pharma Science Limited (NSE:STAR), with a market cap of ₹32.67b. … However, an important fact which most ignore is: how financially healthy is the business?

Simply Wall St -

What Do Analysts Think About Strides Shasun Limited's (NSE:STAR) Earnings Trajectory?

In March 2018, Strides Shasun Limited (NSE:STAR) released its most recent earnings announcement, whicha

Simply Wall St -

Strides Shasun Limited (NSE:STAR): What The Forecasts Are Telling Us

Strides Shasun Limited's (NSE:STAR) … promising vision for earnings in the future … but it's necessary to take a moment

Simply Wall St -

Why Strides Shasun Limited (NSE:STAR) Delivered An Inferior ROE Compared To The Industry

Strides Shasun Limited’s (NSEI:STAR) most recent return on equity was a substandard 2.69% relative to its industry performance of 11.12% over the past year. … See our latest analysis for Strides Shasun Peeling the layers of ROE – trisecting a company’s profitability Return on Equity (ROE) is a measure of Strides Shasun’s profit relative to its shareholders’ equity. … Since Strides Shasun’s return does not cover its cost, with a difference of -10.86%, this means its current use of equity is not efficient and not sustainable.

Simply Wall St -

Company Info

Map
Description

Strides Pharma Science Limited, a pharmaceutical company, develops and manufactures finished dosage formulations in Africa, Australia, Asia, North America, and Europe. Its generic pharma products include general tablets, hard gelatin capsules, soft gelatin capsules, sachets, potent drugs, semi solids, ointments, and creams. The company’s branded generic products comprise Renerve, Unibrol, Combiart, and Duotab & Vitafer in the management of neuropathy, malaria, and anaemia respectively, as well as for the treatment of chronic therapies, including women’s health, CNS, cardiovascular, diabetes, dermatology, and probiotics. In addition, it develops and manufactures drugs in the anti-retroviral, anti-malarial, anti-tuberculosis, hepatitis, and other infectious disease drug segments. Further, the company trades in pharmaceutical products; supplies generic pharmaceutical products; provides business solutions to the independent pharmacy members; and manufactures active pharmaceutical ingredients. The company was formerly known as Strides Shasun Limited and changed its name to Strides Pharma Science Limited in July 2018. Strides Pharma Science Limited was founded in 1990 and is based in Bengaluru, India.

Details
Name: Strides Pharma Science Limited
STAR
Exchange: NSEI
Founded: 1990
₹41,608,902,425
89,548,913
Website: http://www.stridesarco.com
Address: Strides Pharma Science Limited
Strides House,
Bilekahalli,
Bengaluru,
Karnataka, 560076,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NSEI STAR Equity Shares National Stock Exchange of India IN INR 02. Feb 2000
BSE 532531 Equity Shares Mumbai Stock Exchange IN INR 02. Feb 2000
Number of employees
Current staff
Staff numbers
0
Strides Pharma Science employees.
Industry
Pharmaceuticals
Pharmaceuticals & Biotech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2018/11/19 11:56
End of day share price update: 2018/11/16 00:00
Last estimates confirmation: 2018/11/01
Last earnings filing: 2018/10/31
Last earnings reported: 2018/09/30
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.