Sun Pharmaceutical Industries
Market Cap
₹1.5t
Last Updated
2021/01/15 12:21 UTC
Data Sources
Company Financials +
Executive Summary
Sun Pharmaceutical Industries Limited, a generic pharmaceutical company, develops, manufactures, and markets branded and generic formulations and active pharmaceutical ingredients (APIs) in India and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet average dividend payer.
Similar Companies
Share Price & News
How has Sun Pharmaceutical Industries's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SUNPHARMA is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: SUNPHARMA's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-2.7%
SUNPHARMA
1.0%
IN Pharmaceuticals
2.0%
IN Market
1 Year Return
32.9%
SUNPHARMA
58.5%
IN Pharmaceuticals
17.7%
IN Market
Return vs Industry: SUNPHARMA underperformed the Indian Pharmaceuticals industry which returned 58.5% over the past year.
Return vs Market: SUNPHARMA exceeded the Indian Market which returned 17.7% over the past year.
Shareholder returns
| SUNPHARMA | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.7% | 1.0% | 2.0% |
| 30 Day | 4.8% | 5.1% | 7.0% |
| 90 Day | 24.1% | 11.4% | 26.0% |
| 1 Year | 34.1%32.9% | 60.4%58.5% | 19.8%17.7% |
| 3 Year | 7.6%5.6% | 44.5%41.0% | 11.9%6.5% |
| 5 Year | -21.4%-23.4% | 35.1%30.4% | 88.7%74.4% |
Long-Term Price Volatility Vs. Market
How volatile is Sun Pharmaceutical Industries's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Don't Ignore The Fact That This Insider Just Sold Some Shares In Sun Pharmaceutical Industries Limited (NSE:SUNPHARMA)2 weeks ago | Simply Wall St
These 4 Measures Indicate That Sun Pharmaceutical Industries (NSE:SUNPHARMA) Is Using Debt Reasonably Well1 month ago | Simply Wall St
Have Sun Pharmaceutical Industries Limited (NSE:SUNPHARMA) Insiders Been Selling Their Stock?Valuation
Is Sun Pharmaceutical Industries undervalued compared to its fair value and its price relative to the market?
98.25x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: SUNPHARMA (₹604.3) is trading above our estimate of fair value (₹376.67)
Significantly Below Fair Value: SUNPHARMA is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SUNPHARMA is poor value based on its PE Ratio (98.2x) compared to the IN Pharmaceuticals industry average (23.7x).
PE vs Market: SUNPHARMA is poor value based on its PE Ratio (98.2x) compared to the Indian market (19.6x).
Price to Earnings Growth Ratio
PEG Ratio: SUNPHARMA is poor value based on its PEG Ratio (2.4x)
Price to Book Ratio
PB vs Industry: SUNPHARMA is overvalued based on its PB Ratio (3.2x) compared to the IN Pharmaceuticals industry average (2.5x).
Next Steps
Future Growth
How is Sun Pharmaceutical Industries forecast to perform in the next 1 to 3 years based on estimates from 27 analysts?
41.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SUNPHARMA's forecast earnings growth (41.5% per year) is above the savings rate (7%).
Earnings vs Market: SUNPHARMA's earnings (41.5% per year) are forecast to grow faster than the Indian market (25.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SUNPHARMA's revenue (9.2% per year) is forecast to grow slower than the Indian market (11.6% per year).
High Growth Revenue: SUNPHARMA's revenue (9.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SUNPHARMA's Return on Equity is forecast to be low in 3 years time (11.9%).
Next Steps
Past Performance
How has Sun Pharmaceutical Industries performed over the past 5 years?
-16.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SUNPHARMA has a large one-off loss of ₹35.6B impacting its September 30 2020 financial results.
Growing Profit Margin: SUNPHARMA's current net profit margins (4.5%) are lower than last year (13.8%).
Past Earnings Growth Analysis
Earnings Trend: SUNPHARMA's earnings have declined by 16.9% per year over the past 5 years.
Accelerating Growth: SUNPHARMA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SUNPHARMA had negative earnings growth (-66%) over the past year, making it difficult to compare to the Pharmaceuticals industry average (28.7%).
Return on Equity
High ROE: SUNPHARMA's Return on Equity (2.1%) is considered low.
Next Steps
Financial Health
How is Sun Pharmaceutical Industries's financial position?
Financial Position Analysis
Short Term Liabilities: SUNPHARMA's short term assets (₹309.2B) exceed its short term liabilities (₹163.1B).
Long Term Liabilities: SUNPHARMA's short term assets (₹309.2B) exceed its long term liabilities (₹31.1B).
Debt to Equity History and Analysis
Debt Level: SUNPHARMA's debt to equity ratio (10.6%) is considered satisfactory.
Reducing Debt: SUNPHARMA's debt to equity ratio has reduced from 22.3% to 10.6% over the past 5 years.
Debt Coverage: SUNPHARMA's debt is well covered by operating cash flow (92.2%).
Interest Coverage: SUNPHARMA earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Next Steps
Dividend
What is Sun Pharmaceutical Industries's current dividend yield, its reliability and sustainability?
0.66%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SUNPHARMA's dividend (0.66%) is higher than the bottom 25% of dividend payers in the Indian market (0.43%).
High Dividend: SUNPHARMA's dividend (0.66%) is low compared to the top 25% of dividend payers in the Indian market (1.8%).
Stability and Growth of Payments
Stable Dividend: SUNPHARMA's dividend payments have been volatile in the past 10 years.
Growing Dividend: SUNPHARMA's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (65%), SUNPHARMA's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SUNPHARMA's dividends in 3 years are forecast to be thoroughly covered by earnings (13.9% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.9yrs
Average management tenure
CEO
Dilip Shanghvi (65 yo)
no data
Tenure
₹43,076,460
Compensation
Mr. Dilip Shantilal Shanghvi has been the Chairman and Managing Director of Sun Pharma Advanced Research Company Limited since March 1, 2012. Mr. Shanghvi Founded Sun Pharmaceutical Industries Limited in 1...
CEO Compensation Analysis
Compensation vs Market: Dilip's total compensation ($USD589.19K) is below average for companies of similar size in the Indian market ($USD922.22K).
Compensation vs Earnings: Dilip's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD & Executive Director | no data | ₹43.08m | 9.6% ₹ 139.8b | |
| Chief Financial Officer | 3.58yrs | ₹38.89m | no data | |
| Whole Time Director | 21.83yrs | ₹15.81m | 0.12% ₹ 1.7b | |
| CEO of India Business and Emerging Markets & Whole-Time Director | 3.92yrs | ₹49.74m | no data | |
| Company Secretary | 9.75yrs | ₹14.01m | no data | |
| President | no data | no data | no data | |
| President and Global Head of Technical Operations | no data | no data | no data | |
| President | no data | no data | no data | |
| Senior Vice-President of Sun Pharmaceutical Global Operations | no data | no data | no data | |
| Senior VP & Chief Information Officer | no data | no data | no data | |
| Head of Investor Relations | no data | no data | no data | |
| Senior General Manager - Secretarial & Compliance Officer | no data | no data | no data |
3.9yrs
Average Tenure
65yo
Average Age
Experienced Management: SUNPHARMA's management team is considered experienced (3.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD & Executive Director | no data | ₹43.08m | 9.6% ₹ 139.8b | |
| Whole Time Director | 21.83yrs | ₹15.81m | 0.12% ₹ 1.7b | |
| CEO of India Business and Emerging Markets & Whole-Time Director | 3.92yrs | ₹49.74m | no data | |
| Chairman of the Board | 8.67yrs | ₹1.00m | no data | |
| Non-Executive & Non-Independent Director | 27yrs | ₹61.77m | 1.8% ₹ 26.2b | |
| Non-Executive Independent Director | 2.67yrs | ₹2.10m | 0.00033% ₹ 4.8m | |
| Non-Executive & Independent Director | 3.17yrs | ₹600.00k | no data | |
| Non-Executive Independent Director | 6.92yrs | ₹1.90m | no data |
7.8yrs
Average Tenure
65.5yo
Average Age
Experienced Board: SUNPHARMA's board of directors are considered experienced (7.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SUNPHARMA 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
Sun Pharmaceutical Industries Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Sun Pharmaceutical Industries Limited
- Ticker: SUNPHARMA
- Exchange: NSEI
- Founded: 1983
- Industry: Pharmaceuticals
- Sector: Pharmaceuticals & Biotech
- Market Cap: ₹1.457t
- Shares outstanding: 2.40b
- Website: https://www.sunpharma.com
Number of Employees
Location
- Sun Pharmaceutical Industries Limited
- Sun House
- Plot No. 201 B/1
- Mumbai
- Maharashtra
- 400063
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 524715 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Feb 1995 |
| SUNPHARMA | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Feb 1995 |
Biography
Sun Pharmaceutical Industries Limited, a generic pharmaceutical company, develops, manufactures, and markets branded and generic formulations and active pharmaceutical ingredients (APIs) in India and inter...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/15 12:21 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2020/03/31 |
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.