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Last Updated on: 22 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Unichem Laboratories Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 9:17 pm

Market Cap 6,057 Cr.
Current Price 861
High / Low950/401
Stock P/E121
Book Value 341
Dividend Yield0.00 %
ROCE0.39 %
ROE1.17 %
Face Value 2.00
PEG Ratio-2.92

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

View Share Price Target for Unichem Laboratories Ltd

Competitors of Unichem Laboratories Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Gujarat Themis Biosyn Ltd 3,465 Cr. 318390/10865.7 20.50.21 %45.0 %33.8 % 1.00
Gujarat Terce Laboratories Ltd 59.8 Cr. 80.694.9/25.822.9 11.90.00 %9.72 %3.44 % 10.0
Gujarat Inject (Kerala) Ltd 28.0 Cr. 19.119.5/8.3536.3 6.640.00 %4.06 %3.33 % 10.0
Godavari Drugs Ltd 85.5 Cr. 114155/87.012.8 55.40.00 %12.7 %15.5 % 10.0
Glenmark Life Sciences Ltd 13,221 Cr. 1,0801,335/62031.2 2072.08 %28.1 %21.1 % 2.00
Industry Average19,460.76 Cr1,177.0554.20184.880.33%16.40%16.92%6.61

All Competitor Stocks of Unichem Laboratories Ltd

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales274298291311370310329302402423416434432
Expenses255300284313302311347345386395407396406
Operating Profit19-26-168-1-18-43162893825
OPM %7%-1%2%-0%18%-0%-6%-14%4%7%2%9%6%
Other Income816315148416-289679-119
Interest2121235466765
Depreciation22222223232528313029292827
Profit before tax3-9-16-1158-21-47-61-472-2284-126
Tax %114%27%-17%24%-23%13%50%4%-6%132%12%-0%3%
Net Profit-0-11-13-1471-23-71-64-44-1-2484-129
EPS in Rs-0.06-1.63-1.82-2.0010.15-3.32-10.04-9.08-6.29-0.10-3.4811.93-18.37

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales1,0811,1331,2021,3336988151,1801,1041,2351,2701,3431,7051,728
Expenses9069561,1001,1697389421,2541,1531,1441,1981,3891,6051,612
Operating Profit174178101164-41-128-74-499172-46100116
OPM %16%16%8%12%-6%-16%-6%-4%7%6%-3%6%7%
Other Income138320151842,73591915047-0-26-31
Interest3333388856172321
Depreciation38464139445167828491113113113
Profit before tax14621277137972,548-58-485122-176-62-49
Tax %22%20%3%21%-12%0%-59%25%33%-50%15%14%
Net Profit113169751081092,545-24-603433-202-70-61
EPS in Rs12.5218.688.3111.9011.96361.82-3.38-8.554.874.70-28.72-10.01-8.60
Dividend Payout %36%43%24%17%25%1%-118%-47%82%85%-14%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 (%)49.56%-55.62%44.00%0.93%2234.86%-100.94%-150.00%156.67%-2.94%-712.12%65.35%
Change in YoY Net Profit Growth (%)0.00%-105.18%99.62%-43.07%2233.94%-2335.81%-49.06%306.67%-159.61%-709.18%777.47%

Unichem Laboratories 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:4%
5 Years:8%
3 Years:11%
TTM:15%
Compounded Profit Growth
10 Years:%
5 Years:6%
3 Years:%
TTM:149%
Stock Price CAGR
10 Years:14%
5 Years:41%
3 Years:62%
1 Year:109%
Return on Equity
10 Years:13%
5 Years:-2%
3 Years:-2%
Last Year:-1%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 6:38 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital18181818181414141414141414
Reserves7097988499361,0452,6662,6062,5172,5432,6042,4212,3482,387
Borrowings2726223698151200206119349314248300
Other Liabilities318302264283359359323407436351444559610
Total Liabilities1,0731,1451,1531,2741,5213,1903,1423,1453,1123,3193,1933,1693,311
Fixed Assets4484194164034915788108708849901,2571,1961,153
CWIP1329112323725023892330568494147123145
Investments3911411414901926550392264210
Other Assets4546235746207661,4731,3131,3951,2691,5711,7871,8492,013
Total Assets1,0731,1451,1531,2741,5213,1903,1423,1453,1123,3193,1933,1693,311

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +171877811268-112-3282033-260-8517
Cash from Investing Activity +-11836-52-85-1321,648-286-36-6610024157
Cash from Financing Activity +-51-95-51-3359-881-2-62-121191-81-106
Net Cash Flow128-25-7-4655-616-78-1543275-33

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow147.00152.0079.00128.00-139.00-279.00-274.00-255.00-28.00-277.00-360.00-148.00

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 Days7063586016512413512974142160131
Inventory Days132192171184397278278374518527414387
Days Payable145142114131297230182236202161193164
Cash Conversion Cycle57113116113265172231267390508382353
Working Capital Days59958994225200227217194277272217
ROCE %20%19%9%15%9%128%-2%-2%2%1%-5%0%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters50.93%50.93%50.93%50.93%50.94%50.94%50.94%50.94%70.21%70.22%70.22%70.22%
FIIs1.53%1.45%1.47%1.50%1.71%1.56%1.70%1.62%0.83%0.84%0.90%0.89%
DIIs9.09%9.30%9.59%9.53%8.70%8.21%8.15%9.65%10.00%10.46%11.26%11.57%
Public38.44%38.32%38.01%38.04%38.67%39.31%39.21%37.80%18.95%18.47%17.63%17.32%
No. of Shareholders33,89235,31333,55732,66629,57330,61829,41826,64221,58420,87721,17120,621

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Small Cap Fund - Regular Plan5,473,1340.9256.12313,2252024-11-201647.35%
DSP Healthcare Fund735,5911.5834.42313,2252024-11-20134.84%
Franklin India Opportunities Fund313,2250.5914.66313,2252024-11-200%
Motilal Oswal S&P BSE Healthcare ETF3660.170.02313,2252024-11-20-99.88%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)-10.01-28.724.704.88-8.55
Diluted EPS (Rs.)-10.01-28.724.704.88-8.55
Cash EPS (Rs.)6.07-7.1317.8016.912.94
Book Value[Excl.RevalReserv]/Share (Rs.)335.54345.89371.90363.16359.54
Book Value[Incl.RevalReserv]/Share (Rs.)335.54345.89371.90363.16359.54
Revenue From Operations / Share (Rs.)242.15190.75180.36175.43156.76
PBDIT / Share (Rs.)18.73-0.9917.0920.075.75
PBIT / Share (Rs.)2.64-17.114.148.09-5.85
PBT / Share (Rs.)-8.76-19.573.277.36-6.96
Net Profit / Share (Rs.)-10.01-23.254.854.92-8.66
NP After MI And SOA / Share (Rs.)-10.01-28.724.704.88-8.55
PBDIT Margin (%)7.73-0.529.4711.433.66
PBIT Margin (%)1.09-8.972.294.61-3.73
PBT Margin (%)-3.61-10.261.814.19-4.44
Net Profit Margin (%)-4.13-12.182.682.80-5.52
NP After MI And SOA Margin (%)-4.13-15.052.602.77-5.45
Return on Networth / Equity (%)-2.98-8.301.261.34-2.37
Return on Capital Employeed (%)0.75-4.711.052.17-1.59
Return On Assets (%)-2.22-6.330.991.09-1.91
Long Term Debt / Equity (X)0.010.020.030.000.00
Total Debt / Equity (X)0.090.120.120.030.07
Asset Turnover Ratio (%)0.530.410.300.350.29
Current Ratio (X)2.402.492.992.722.98
Quick Ratio (X)1.401.511.901.662.28
Inventory Turnover Ratio (X)1.120.860.871.151.22
Dividend Payout Ratio (NP) (%)0.000.0085.1882.04-56.41
Dividend Payout Ratio (CP) (%)0.000.0022.6623.72158.00
Earning Retention Ratio (%)0.000.0014.8217.96156.41
Cash Earning Retention Ratio (%)0.000.0077.3476.28-58.00
Interest Coverage Ratio (X)5.82-0.4019.7027.605.16
Interest Coverage Ratio (Post Tax) (X)0.43-8.456.597.77-6.77
Enterprise Value (Cr.)3504.162147.122049.282195.831015.82
EV / Net Operating Revenue (X)2.061.601.611.780.92
EV / EBITDA (X)26.58-304.9717.0315.5425.09
MarketCap / Net Operating Revenue (X)2.021.521.441.760.96
Retention Ratios (%)0.000.0014.8117.95156.41
Price / BV (X)1.460.830.700.850.42
Price / Net Operating Revenue (X)2.021.521.441.760.96
EarningsYield-0.02-0.090.010.01-0.05

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Unichem Laboratories Ltd as of November 22, 2024 is: 492.41

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 22, 2024, Unichem Laboratories Ltd is Overvalued by 42.81% compared to the current share price 861.00

Intrinsic Value of Unichem Laboratories Ltd as of November 22, 2024 is: 288.56

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 22, 2024, Unichem Laboratories Ltd is Overvalued by 66.49% compared to the current share price 861.00

Last 5 Year EPS CAGR: -41.40%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 16.17%, which is a positive sign.
  2. The company has higher reserves (1,879.15 cr) compared to borrowings (161.23 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (117.23 cr) and profit (27.00 cr) over the years.
  1. The stock has a high average Working Capital Days of 180.50, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 247.25, which may not be favorable.

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 Unichem Laboratories Ltd:
    1. Net Profit Margin: -4.13%
      • 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: 0.75% (Industry Average ROCE: 16.4%)
      • 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%: -2.98% (Industry Average ROE: 16.92%)
      • 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): 0.43
      • 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: 1.4
      • 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: 121 (Industry average Stock P/E: 54.2)
      • 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: 0.09
      • 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

Unichem Laboratories Ltd. is a Public Limited Listed company incorporated on 22/08/1962 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L99999MH1962PLC012451 and registration number is 012451. Currently Company is involved in the business activities of Manufacture of pharmaceuticals, medicinal chemical and botanical products. Company’s Total Operating Revenue is Rs. 942.93 Cr. and Equity Capital is Rs. 14.08 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
PharmaceuticalsUnichem Bhavan, Mumbai Maharashtra 400102shares@unichemlabs.com
http://www.unichemlabs.com
Management
NamePosition Held
Dr. Prakash A ModyChairman, Non Ind & Non Exe Director
Mr. Pabitrakumar BhattacharyyaManaging Director
Mr. Pranay GodhaNon Exe.Non Ind.Director
Ms. Priti PuriIndependent Director
Mr. Anand KusreIndependent Director
Mr. Arun TodarwalIndependent Director

FAQ

What is the latest intrinsic value of Unichem Laboratories Ltd?

The latest intrinsic value of Unichem Laboratories Ltd as on 21 November 2024 is ₹492.41, which is 42.81% lower than the current market price of ₹861.00.

What is the Market Cap of Unichem Laboratories Ltd?

The Market Cap of Unichem Laboratories Ltd is 6,057 Cr..

What is the current Stock Price of Unichem Laboratories Ltd as on 21 November 2024?

The current stock price of Unichem Laboratories Ltd as on 21 November 2024 is ₹861.

What is the High / Low of Unichem Laboratories Ltd stocks in FY 2024?

In FY 2024, the High / Low of Unichem Laboratories Ltd stocks is 950/401.

What is the Stock P/E of Unichem Laboratories Ltd?

The Stock P/E of Unichem Laboratories Ltd is 121.

What is the Book Value of Unichem Laboratories Ltd?

The Book Value of Unichem Laboratories Ltd is 341.

What is the Dividend Yield of Unichem Laboratories Ltd?

The Dividend Yield of Unichem Laboratories Ltd is 0.00 %.

What is the ROCE of Unichem Laboratories Ltd?

The ROCE of Unichem Laboratories Ltd is 0.39 %.

What is the ROE of Unichem Laboratories Ltd?

The ROE of Unichem Laboratories Ltd is 1.17 %.

What is the Face Value of Unichem Laboratories Ltd?

The Face Value of Unichem Laboratories Ltd is 2.00.

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 Unichem Laboratories 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