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Last Updated on: 14 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Sun Pharma Advanced Research Company Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 14, 2024, 11:21 pm

Market Cap 6,414 Cr.
Current Price 197
High / Low474/193
Stock P/E
Book Value 3.85
Dividend Yield0.00 %
ROCE109 %
ROE122 %
Face Value 1.00
PEG Ratio0.00

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for Sun Pharma Advanced Research Company Ltd

Competitors of Sun Pharma Advanced Research Company Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
FGP Ltd 12.9 Cr. 10.814.2/5.3724.3 3.140.00 %6.46 %8.00 % 10.0
Logica Infoway Ltd 391 Cr. 229314/12948.3 35.80.00 %14.4 %14.2 % 10.0
CRP Risk Management Ltd 16.7 Cr. 9.5335.2/7.16417 34.60.00 %0.07 %0.07 % 10.0
Binani Industries Ltd 46.9 Cr. 15.222.4/13.2 59.10.00 %%% 10.0
Syngene International Ltd 34,818 Cr. 862946/60875.5 1090.15 %14.7 %13.2 % 10.0
Industry Average11,107.75 Cr332.36141.2899.500.02%24.80%26.73%8.71

All Competitor Stocks of Sun Pharma Advanced Research Company Ltd

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales282228622528321314824211417
Expenses787683739210794115137126113116124
Operating Profit-50-54-55-11-67-78-6316-90-102-91-103-108
OPM %-180%-245%-196%-18%-264%-275%-198%12%-188%-427%-432%-740%-649%
Other Income005000001110864
Interest4532223300001
Depreciation3333333333333
Profit before tax-57-61-55-16-71-82-6810-82-95-86-100-107
Tax %0%0%0%0%0%0%0%0%0%0%0%0%0%
Net Profit-57-61-55-16-71-82-6810-82-95-86-100-107
EPS in Rs-2.16-2.34-2.09-0.60-2.61-3.03-2.520.37-2.53-2.94-2.66-3.07-3.29

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales87167156161181781837725313723976
Expenses104134191224304321334387388324453479
Operating Profit-1734-35-63-123-243-151-310-135-187-214-404
OPM %-19%20%-23%-39%-68%-310%-83%-404%-53%-136%-90%-534%
Other Income2103314541410571129
Interest46022003111382
Depreciation3478888911101212
Profit before tax-2234-40-70-119-197-145-312-151-203-223-388
Tax %0%12%0%0%0%0%0%0%0%0%0%0%
Net Profit-2230-40-70-119-197-145-312-151-203-223-388
EPS in Rs-0.911.23-1.60-2.83-4.82-7.85-5.55-11.92-5.77-7.48-6.86-11.96
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)236.36%-233.33%-75.00%-70.00%-65.55%26.40%-115.17%51.60%-34.44%-9.85%-73.99%
Change in YoY Net Profit Growth (%)0.00%-469.70%158.33%5.00%4.45%91.94%-141.57%166.77%-86.04%24.58%-64.14%

Sun Pharma Advanced Research Company Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:-8%
5 Years:-16%
3 Years:-33%
TTM:-73%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:%
TTM:-62%
Stock Price CAGR
10 Years:0%
5 Years:5%
3 Years:-10%
1 Year:-22%
Return on Equity
10 Years:%
5 Years:%
3 Years:%
Last Year:-122%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital242424242525262626273232
Reserves85116768133160270-45-194-23048092
Borrowings81545632267236791656
Other Liabilities20393975111122101224162404302305
Total Liabilities209184143163273309398273230280830486
Fixed Assets666467706952581049192106103
CWIP01011324325262744
Investments976001010821186122912
Other Assets461127692192146106128127150406338
Total Assets209184143163273309398273230280830486

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +-9537-41-44-128-183-172-211-152-208-69-429
Cash from Investing Activity +-994453-13-7-105-1021552-29-548391
Cash from Financing Activity +194-81-1511942242745515922961743
Net Cash Flow-0-011-760-63009-8-14

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-98.0029.00-39.00-119.00-126.00-245.00-153.00-377.00-371.00-266.00-230.00-460.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days1056147217882207625745075
Inventory Days000000000
Days Payable
Cash Conversion Cycle1056147217882207625745075
Working Capital Days7212921-42-59-232-98-557-96-97-189-509
ROCE %-20%21%-32%-71%-94%-143%-62%-183%-242%-106%-109%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters68.10%68.10%69.09%69.09%69.09%68.23%65.68%65.68%65.68%65.68%65.68%65.68%
FIIs2.54%2.51%2.38%2.40%2.38%3.48%3.64%3.64%3.67%3.30%3.24%2.64%
DIIs0.56%0.55%0.76%0.76%0.76%0.76%0.63%0.63%0.65%0.67%0.67%0.17%
Public28.81%28.84%27.77%27.75%27.77%27.53%30.04%30.06%29.99%30.36%30.41%31.51%
No. of Shareholders94,83495,03992,73694,49493,71896,33798,7771,00,8071,01,4331,03,9901,02,7431,25,184

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Quant Small Cap Fund595,8690.1317.0948,5282024-11-131127.89%
ITI Pharma and Healthcare Fund58,6281.171.6848,5282024-11-1320.81%
Nippon India Nifty Smallcap 250 Index Fund48,5280.141.3948,5282024-11-130%
Motilal Oswal Nifty Smallcap 250 Index Fund30,3260.140.8748,5282024-11-13-37.51%
SBI Nifty Smallcap 250 Index Fund23,8050.140.6848,5282024-11-13-50.95%
ICICI Prudential Nifty Smallcap 250 Index Fund11,3300.140.3248,5282024-11-13-76.65%
HDFC NIFTY Smallcap 250 ETF6,5730.140.1948,5282024-11-13-86.46%
HDFC Nifty Smallcap 250 Index Fund5,3010.140.1548,5282024-11-13-89.08%
Motilal Oswal Nifty 500 Index Fund3,0600.010.0948,5282024-11-13-93.69%
Edelweiss Nifty Smallcap 250 Index Fund1,2340.140.0448,5282024-11-13-97.46%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24
FaceValue1.00
Basic EPS (Rs.)-11.93
Diluted EPS (Rs.)-11.93
Cash EPS (Rs.)-11.55
Book Value[Excl.RevalReserv]/Share (Rs.)3.88
Book Value[Incl.RevalReserv]/Share (Rs.)3.88
Revenue From Operations / Share (Rs.)2.33
PBDIT / Share (Rs.)-11.48
PBIT / Share (Rs.)-11.87
PBT / Share (Rs.)-11.92
Net Profit / Share (Rs.)-11.93
NP After MI And SOA / Share (Rs.)-11.93
PBDIT Margin (%)-493.22
PBIT Margin (%)-509.78
PBT Margin (%)-512.01
Net Profit Margin (%)-512.52
NP After MI And SOA Margin (%)-512.52
Return on Networth / Equity (%)-307.92
Return on Capital Employeed (%)-154.06
Return On Assets (%)-75.18
Total Debt / Equity (X)0.37
Current Ratio (X)1.02
Quick Ratio (X)1.02
Interest Coverage Ratio (X)-220.49
Interest Coverage Ratio (Post Tax) (X)-228.12
Enterprise Value (Cr.)11896.55
EV / Net Operating Revenue (X)157.47
EV / EBITDA (X)-31.93
MarketCap / Net Operating Revenue (X)158.90
Price / BV (X)95.47
Price / Net Operating Revenue (X)158.91
EarningsYield-0.03

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Sun Pharma Advanced Research Company Ltd as of November 14, 2024 is: 71.86

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of November 14, 2024, Sun Pharma Advanced Research Company Ltd is Overvalued by 63.52% compared to the current share price 197.00

Default values used*: Default value of 15 for Stock P/E is used

Intrinsic Value of Sun Pharma Advanced Research Company Ltd as of November 14, 2024 is: 71.30

Calculation basis:

  • Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of November 14, 2024, Sun Pharma Advanced Research Company Ltd is Overvalued by 63.81% compared to the current share price 197.00

Default values used*: Default value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: -0.78%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -138.08, which is a positive sign.
  2. The company has higher reserves (79.25 cr) compared to borrowings (50.58 cr), indicating strong financial stability.
  1. The stock has a low average ROCE of -86.75%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 59.50, which may not be favorable.
  3. The company has not shown consistent growth in sales (149.58) and profit (-153.00).

Stock Analysis

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Sun Pharma Advanced Research Company Ltd:
    1. Net Profit Margin: -512.52%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: -154.06% (Industry Average ROCE: 24.8%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: -307.92% (Industry Average ROE: 26.73%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): -228.12
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 1.02
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. Stock P/E: 0 (Industry average Stock P/E: 141.28)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 0.37
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company - Qualitative Analysis

Sun Pharma Advanced Research Company Ltd. is a Public Limited Listed company incorporated on 01/03/2006 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L73100GJ2006PLC047837 and registration number is 047837. Currently Company is involved in the business activities of Research and experimental development on natural sciences and engineering. Company’s Total Operating Revenue is Rs. 137.25 Cr. and Equity Capital is Rs. 27.19 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Medical Research ServicesPlot No. 5 & 6/1, Savli G.I.D.C. Estate, Vadodra District Gujarat 391775secretarial@sparcmail.com
http://www.sparc.life
Management
NamePosition Held
Mr. Dilip S ShanghviChairman & Non-Exe.Director
Dr. T RajamannarNon Executive Director
Dr. Robert J SpiegelIndependent Director
Mr. Sudhir V ValiaNon Executive Director
Ms. Bhavna DoshiIndependent Director
Dr. Ferzaan EngineerIndependent Director
Ms. Vidhi ShanghviNon Exe.Non Ind.Director

FAQ

What is the latest intrinsic value of Sun Pharma Advanced Research Company Ltd?

The latest intrinsic value of Sun Pharma Advanced Research Company Ltd as on 14 November 2024 is ₹71.86, which is 63.52% lower than the current market price of ₹197.00.

What is the Market Cap of Sun Pharma Advanced Research Company Ltd?

The Market Cap of Sun Pharma Advanced Research Company Ltd is 6,414 Cr..

What is the current Stock Price of Sun Pharma Advanced Research Company Ltd as on 14 November 2024?

The current stock price of Sun Pharma Advanced Research Company Ltd as on 14 November 2024 is ₹197.

What is the High / Low of Sun Pharma Advanced Research Company Ltd stocks in FY 2024?

In FY 2024, the High / Low of Sun Pharma Advanced Research Company Ltd stocks is 474/193.

What is the Stock P/E of Sun Pharma Advanced Research Company Ltd?

The Stock P/E of Sun Pharma Advanced Research Company Ltd is .

What is the Book Value of Sun Pharma Advanced Research Company Ltd?

The Book Value of Sun Pharma Advanced Research Company Ltd is 3.85.

What is the Dividend Yield of Sun Pharma Advanced Research Company Ltd?

The Dividend Yield of Sun Pharma Advanced Research Company Ltd is 0.00 %.

What is the ROCE of Sun Pharma Advanced Research Company Ltd?

The ROCE of Sun Pharma Advanced Research Company Ltd is 109 %.

What is the ROE of Sun Pharma Advanced Research Company Ltd?

The ROE of Sun Pharma Advanced Research Company Ltd is 122 %.

What is the Face Value of Sun Pharma Advanced Research Company Ltd?

The Face Value of Sun Pharma Advanced Research Company Ltd is 1.00.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Sun Pharma Advanced Research Company Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE