Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 23 April, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 500488 | NSE: ABBOTINDIA

Fundamental Analysis of Abbott India Ltd

Basic Stock Data

Last Updated: April 23, 2024, 12:44 pm

Market Cap 54,779 Cr.
Current Price 25,725
High / Low29,639/20,594
Stock P/E47.8
Book Value 1,463
Dividend Yield0.70 %
ROCE41.1 %
ROE31.6 %
Face Value 10.0

Data Source: screener.in

Competitors of Abbott India Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Jubilant Pharmova Ltd 10,702 Cr. 672677/299292 3400.74 %3.13 %6.89 % 1.00
TTK Healthcare Ltd 2,142 Cr. 1,5131,744/1,10133.0 6880.66 %10.1 %99.7 % 10.0
Glenmark Pharmaceuticals Ltd 29,912 Cr. 1,0601,070/500242 3310.24 %14.2 %5.44 % 1.00
Wockhardt Ltd 8,692 Cr. 569630/165 2170.00 %0.46 %8.31 % 5.00
Ortin Laboratories Ltd 15.9 Cr. 19.530.4/16.2 12.00.00 %1.80 %0.64 % 10.0
Industry Average10,292.78 Cr766.70113.40317.600.33%5.94%24.20%5.40

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales1,0951,0961,2181,2221,2241,2551,3041,3791,3221,3431,4791,4941,437
Expenses8548909539629559611,0341,0361,0101,0631,1241,1131,049
Operating Profit242206265260269294270343312280355381388
OPM %22%19%22%21%22%23%21%25%24%21%24%25%27%
Other Income15161918192127344450565656
Interest4555454444333
Depreciation15151616171717171817171818
Profit before tax238202264257267292275355335308390415422
Tax %26%24%26%25%25%28%25%25%26%25%26%25%26%
Net Profit177152196192199211206266247231290313311
EPS in Rs83.3671.7592.1390.5193.7499.4996.77124.95116.16108.91136.59147.27146.35

Last Updated: April 10, 2024, 5:34 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: April 6, 2024, 1:33 pm

MonthDec 2011Dec 2012Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales1,4901,6532,2762,2892,6142,9033,2983,6794,0934,3104,9135,3495,753
Expenses1,3151,4512,0091,9772,2502,5052,7743,0743,3363,3883,8324,1434,350
Operating Profit1762022673123653985256057579221,0821,2061,404
OPM %12%12%12%14%14%14%16%16%18%21%22%23%24%
Other Income1933494850571171131148183154217
Interest00003242918191614
Depreciation15192215141616176058667070
Profit before tax1802152953443984366216998039261,0801,2741,536
Tax %33%33%33%34%36%37%35%36%26%25%26%25%
Net Profit1201451982292552774014505936917999491,146
EPS in Rs56.6668.1093.39107.75120.12130.19188.82211.93279.04325.04375.87446.80539.12
Dividend Payout %30%25%25%29%29%31%29%31%90%85%73%73%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)15.66%11.35%8.63%44.77%12.22%31.78%16.53%15.63%18.77%
Change in YoY Net Profit Growth (%)0.00%-4.30%-2.73%36.14%-32.55%19.56%-15.25%-0.90%3.14%

Growth

Compounded Sales Growth
10 Years:12%
5 Years:10%
3 Years:9%
TTM:9%
Compounded Profit Growth
10 Years:21%
5 Years:19%
3 Years:17%
TTM:23%
Stock Price CAGR
10 Years:31%
5 Years:27%
3 Years:20%
1 Year:16%
Return on Equity
10 Years:27%
5 Years:28%
3 Years:30%
Last Year:32%

Last Updated: April 16, 2024, 6:11 pm

Balance Sheet

MonthDec 2011Dec 2012Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital21212121212121212121212121
Reserves5236267679161,1741,3661,6721,9872,4102,5812,7993,1673,088
Borrowings0000000017515315211392
Other Liabilities2532603514364216797239329401,0861,2531,2541,315
Total Liabilities7979071,1391,3741,6162,0662,4162,9413,5473,8404,2244,5564,516
Fixed Assets80109989610811081105270251271237225
CWIP01143621211412
Investments0000000000000
Other Assets7177981,0401,2741,5051,9502,3332,8353,2753,5893,9524,3154,278
Total Assets7979071,1391,3741,6162,0662,4162,9413,5473,8404,2244,5564,516

Reserves and Borrowings Chart

Cash Flow

MonthDec 2011Dec 2012Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 24101155215249307153499626727948893
Cash from Investing Activity 56-59-144-187-77-155-215-257-401-72-396-148
Cash from Financing Activity -42-42-42-58-80-90-102-143-217-582-637-639
Net Cash Flow381-31-309162-16599873-86107

Free Cash Flow

MonthDec 2011Dec 2012Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow176.00202.00267.00312.00365.00398.00525.00605.00582.00769.00-151.00-112.00

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

Abbott India Ltd Financial Efficiency Indicators

MonthDec 2011Dec 2012Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days323118212022292728212122
Inventory Days1089910110791107112106831109480
Days Payable513838545610192116104116122109
Cash Conversion Cycle8992807454284917814-6-8
Working Capital Days4649363032216322147-4-5
ROCE %42%34%39%40%38%34%41%37%35%35%38%41%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters74.99%74.99%74.99%74.99%74.99%74.99%74.99%74.99%74.99%74.99%74.99%74.99%
FIIs1.01%0.25%0.24%0.22%0.22%0.20%0.20%0.20%0.19%0.19%0.19%0.18%
DIIs5.53%6.74%6.88%6.76%7.52%7.95%7.85%8.38%8.61%8.77%8.83%8.73%
Public18.47%18.03%17.89%18.04%17.27%16.86%16.95%16.42%16.20%16.05%16.01%16.09%
No. of Shareholders84,47875,54073,41783,23690,56782,11383,52674,91572,08669,58268,88572,252

Shareholding Pattern Chart

No. of Shareholders

Abbott India Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
Axis Midcap Fund1642301.73425.47
SBI Large & Midcap Fund1550002.01401.56
SBI Magnum Global Fund1330005.29344.56
Canara Robeco Emerging Equities1125061.46291.47
HSBC Midcap Fund772722.11200.19
Nippon India Pharma Fund763902.87197.9
PGIM India Midcap Opportunities Fund663611.73171.92
Franklin India Prima Fund523041.34135.5
Nippon India Multi Cap Fund447420.45115.91
Canara Robeco Flexi Cap Fund423100.94109.61

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)446.78375.86325.04279.04211.93
Diluted EPS (Rs.)446.78375.86325.04279.04211.93
Cash EPS (Rs.)479.71406.96352.38307.09219.89
Book Value[Excl.RevalReserv]/Share (Rs.)1500.491326.961224.551144.37945.25
Book Value[Incl.RevalReserv]/Share (Rs.)1500.491326.961224.551144.37945.25
Dividend / Share (Rs.)325.00275.00275.00250.0065.00
Revenue From Operations / Share (Rs.)2517.052314.952028.241926.251731.16
PBDIT / Share (Rs.)639.90548.20471.70409.82337.90
PBIT / Share (Rs.)606.97517.10444.34381.76329.94
PBT / Share (Rs.)599.44508.11435.74377.75328.88
Net Profit / Share (Rs.)446.78375.86325.03279.04211.93
PBDIT Margin (%)25.4223.6823.2521.2719.51
PBIT Margin (%)24.1122.3321.9019.8119.05
PBT Margin (%)23.8121.9421.4819.6118.99
Net Profit Margin (%)17.7516.2316.0214.4812.24
Return on Networth / Equity (%)29.7728.3226.5424.3822.42
Return on Capital Employeed (%)38.5036.3733.6030.5433.64
Return On Assets (%)20.8418.9017.9816.7115.31
Asset Turnover Ratio (%)1.221.221.171.261.37
Current Ratio (X)2.513.203.413.603.22
Quick Ratio (X)1.972.632.723.002.51
Inventory Turnover Ratio (X)0.830.700.720.790.68
Dividend Payout Ratio (NP) (%)61.540.000.0023.2925.95
Dividend Payout Ratio (CP) (%)57.320.000.0021.1625.01
Earning Retention Ratio (%)38.460.000.0076.7174.05
Cash Earning Retention Ratio (%)42.680.000.0078.8474.99
Interest Coverage Ratio (X)85.0460.9954.83102.06319.35
Interest Coverage Ratio (Post Tax) (X)60.3842.8238.7870.49201.29
Enterprise Value (Cr.)44996.8634862.1129441.8430644.4813821.01
EV / Net Operating Revenue (X)8.417.096.837.493.76
EV / EBITDA (X)33.0929.9329.3735.1919.25
MarketCap / Net Operating Revenue (X)8.777.657.398.024.21
Retention Ratios (%)38.450.000.0076.7074.04
Price / BV (X)14.7213.3412.2413.517.72
Price / Net Operating Revenue (X)8.777.657.398.024.21
EarningsYield0.020.020.020.010.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 22253.01

The stock is overvalued by 13.50% compared to the current price ₹25725

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.

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 37.83%, which is a positive sign.
  2. The stock has a low average Working Capital Days of 25.92, which is a positive sign.
  3. The company has higher reserves (1,775.08 cr) compared to borrowings (52.69 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (2.92 cr) and profit (378.46 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 40.92, 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 Abbott India Ltd:
    1. Net Profit Margin: 17.75%
      • 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: 38.50% (Industry Average ROCE: 12.96%)
      • 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%: 29.77% (Industry Average ROE: 10.7%)
      • 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): 60.38
      • 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: 1.97
      • 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: 47.8 (Industry average Stock P/E: 37.9)
      • 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: N/A
      • 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

Abbott India Ltd. is a Public Limited Listed company incorporated on 22/08/1944 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24239MH1944PLC007330 and registration number is 007330. Currently Company is involved in the business activities of Manufacture of allopathic pharmaceutical preparations. Company’s Total Operating Revenue is Rs. 4919.27 Cr. and Equity Capital is Rs. 21.25 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Pharmaceuticals3, Corporate Park, Mumbai Maharashtra 400071investorrelations.india@abbott.com
http://www.abbott.co.in
Management
NamePosition Held
Mr. Munir ShaikhChairman
Mr. Vivek V KamathManaging Director
Mr. Kaiyomarz MarfatiaNon Executive Director
Mr. Ambati VenuNon Executive Director
Mr. Sabina EwingNon Executive Director
Ms. Anisha MotwaniIndependent Director
Ms. Shalini KamathIndependent Director
Mr. Sudarshan JainIndependent Director
Mr. Mahadeo KarnikNon Executive Director

Abbott India Ltd. Share Price Update

Share PriceValue
Today₹25,833.05
Previous Day₹26,261.45

FAQ

What is the latest fair value of Abbott India Ltd?

The latest fair value of Abbott India Ltd is ₹22253.01.

What is the Market Cap of Abbott India Ltd?

The Market Cap of Abbott India Ltd is 54,779 Cr..

What is the current Stock Price of Abbott India Ltd as on 23 April 2024?

The current stock price of Abbott India Ltd as on 23 April 2024 is 25,725.

What is the High / Low of Abbott India Ltd stocks in FY 2024?

In FY 2024, the High / Low of Abbott India Ltd stocks is ₹29,639/20,594.

What is the Stock P/E of Abbott India Ltd?

The Stock P/E of Abbott India Ltd is 47.8.

What is the Book Value of Abbott India Ltd?

The Book Value of Abbott India Ltd is 1,463.

What is the Dividend Yield of Abbott India Ltd?

The Dividend Yield of Abbott India Ltd is 0.70 %.

What is the ROCE of Abbott India Ltd?

The ROCE of Abbott India Ltd is 41.1 %.

What is the ROE of Abbott India Ltd?

The ROE of Abbott India Ltd is 31.6 %.

What is the Face Value of Abbott India Ltd?

The Face Value of Abbott India Ltd is 10.0.

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 Abbott India 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