Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 18 February, 2025
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo
Stock Ticker - BSE: 532331 | NSE: AJANTPHARM

Ajanta Pharma Ltd: Share Price Analysis, Intrinsic Value & Fundamentals (2025)

Share Price and Basic Stock Data

Last Updated: February 18, 2025, 3:18 am

Market Cap 33,236 Cr.
Current Price 2,661
High / Low 3,486/1,998
Stock P/E37.0
Book Value 294
Dividend Yield1.35 %
ROCE31.6 %
ROE23.2 %
Face Value 2.00
PEG Ratio3.60

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

View Share Price Target for Ajanta Pharma Ltd

Competitors of Ajanta Pharma Ltd

Stock Name Market Cap Current Price High / Low Stock P/E Book Value Dividend Yield ROCE ROE Face Value
MPS Pharmaa Ltd 7.63 Cr. 3.99 4.33/3.05 0.800.00 %9.15 %34.9 % 10.0
Gujarat Themis Biosyn Ltd 2,503 Cr. 230 390/21647.5 20.50.29 %45.0 %33.8 % 1.00
Gujarat Terce Laboratories Ltd 53.9 Cr. 72.7 94.9/30.818.3 11.90.00 %9.72 %3.44 % 10.0
Gujarat Inject (Kerala) Ltd 39.1 Cr. 26.7 28.6/8.7439.9 6.640.00 %2.65 %2.08 % 10.0
Godavari Drugs Ltd 65.8 Cr. 87.4 155/82.210.6 55.40.00 %14.4 %15.5 % 10.0
Industry Average13,667.37N/A35.10N/AN/A16.0515.89N/A

All Competitor Stocks of Ajanta Pharma Ltd

Quarterly Result

MetricJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales 7488858388709519389728821,0211,0281,1051,0541,145
Expenses 528622598664729742802732750738791776815
Operating Profit 220263240207222196170149271291314278330
OPM % 29%30%29%24%23%21%17%17%27%28%28%26%29%
Other Income 33302429334035373221143626
Interest 2017113112221
Depreciation 31323231323333333334343434
Profit before tax 220260231198222203168152269276291278322
Tax % 21%25%17%24%21%23%20%20%23%29%28%27%24%
Net Profit 174196192151175157135122208195210203246
EPS in Rs 13.3915.1014.7811.8013.6312.2210.509.5416.5315.5116.6816.1019.68

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MetricMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales 6779311,2081,4741,7491,9832,1262,0552,5882,8903,3413,7434,036
Expenses 5457068409681,1551,2921,4671,4891,9041,8892,4082,9343,011
Operating Profit 1322243695055946916585676831,0019338081,025
OPM % 19%24%31%34%34%35%31%28%26%35%28%22%25%
Other Income 6614814202421882411274104
Interest 15199651011281067
Depreciation 323444524461607296116125131134
Profit before tax 91177330456559648623514664900909745988
Tax % 15%37%29%32%26%22%25%25%30%27%22%21%
Net Profit 77112234310416507469387468654713588736
EPS in Rs 5.858.4917.7523.4731.4938.4035.5029.5635.7350.3855.6345.8958.26
Dividend Payout % 11%13%15%17%17%23%0%20%24%13%11%15%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)45.45%108.93%32.48%34.19%21.88%-7.50%-17.48%20.93%39.74%9.02%-17.53%
Change in YoY Net Profit Growth (%)0.00%63.47%-76.45%1.71%-12.32%-29.37%-9.99%38.41%18.81%-30.72%-26.55%

Ajanta Pharma Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2012-2013 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:13%
5 Years:15%
3 Years:13%
TTM:12%
Compounded Profit Growth
10 Years:13%
5 Years:16%
3 Years:7%
TTM:22%
Stock Price CAGR
10 Years:14%
5 Years:23%
3 Years:26%
1 Year:24%
Return on Equity
10 Years:24%
5 Years:21%
3 Years:21%
Last Year:23%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:45 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital 12181818181818181717252525
Reserves 3825768231,1731,5502,0242,2282,5812,9783,2473,3633,5423,652
Borrowings 12513072811236753125363533
Other Liabilities 2002262332072543833836197027111,1599271,081
Total Liabilities 7189491,1461,4791,8232,4262,6643,2933,7294,0004,5824,5304,790
Fixed Assets 2732792884515891,0531,1781,4721,5411,5121,4961,4791,451
CWIP 129417024033961262132108153209256349
Investments 86360861821907879176147535349702
Other Assets 4255136297037131,1221,1471,6101,9042,1882,3412,4462,289
Total Assets 7189491,1461,4791,8232,4262,6643,2933,7294,0004,5824,5304,790

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +234212279326609281375457576562792785
Cash from Investing Activity +-104-188-158-209-383-256-223-224-282-74-56065
Cash from Financing Activity +-104-20-105-117-202-0-147-129-318-460-108-1,051
Net Cash Flow26416-024254104-2428124-201

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow132.0099.00239.00433.00513.00690.00656.00531.00608.00-30.00908.00772.00

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 Days5961647859798210993111103108
Inventory Days178164159180186315415276434347283283
Days Payable159132109128157224214202212143147159
Cash Conversion Cycle789411413088170282184315315240233
Working Capital Days595761906510311911612714184120
ROCE %39%55%57%52%46%34%24%27%32%29%23%32%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters70.34%70.48%70.48%70.48%66.11%66.11%66.22%66.22%66.22%66.22%66.27%66.26%
FIIs8.95%8.64%8.30%8.23%10.07%10.00%10.19%9.99%9.11%8.54%8.36%9.11%
DIIs12.14%12.29%12.46%12.68%15.37%15.52%15.36%15.60%16.67%17.48%17.41%17.09%
Government0.45%0.45%0.45%0.45%0.45%0.45%0.46%0.00%0.00%0.00%0.01%0.01%
Public8.12%8.14%8.31%8.15%8.00%7.91%7.78%8.21%8.00%7.76%7.94%7.51%
No. of Shareholders57,89760,75964,44562,04859,79883,54954,87456,27754,35155,48870,31664,315

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Small Cap Fund1,977,7440.94430.01992,2712025-02-1799.31%
UTI Flexi Cap Fund1,851,4781.6402.56992,2712025-02-1786.59%
Kotak Small Cap Fund - Regular Plan992,2711.5215.74992,2712025-02-170%
Nippon India Pharma Fund968,2143.05210.51992,2712025-02-17-2.42%
Invesco India Contra Fund775,2591.26168.56992,2712025-02-17-21.87%
HDFC Large and Mid Cap Fund - Regular Plan674,3730.91146.63992,2712025-02-17-32.04%
Nippon India Multi Cap Fund628,9660.53136.75992,2712025-02-17-36.61%
Canara Robeco Small Cap Fund546,9911.24118.93992,2712025-02-17-44.87%
Franklin India Prima Fund527,1731.14114.62992,2712025-02-17-46.87%
Mirae Asset Midcap Fund510,5210.77111992,2712025-02-17-48.55%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue 2.002.002.002.002.00
Basic EPS (Rs.) 64.8245.8982.4575.0953.60
Diluted EPS (Rs.) 64.7745.8982.4575.0953.60
Cash EPS (Rs.) 75.3156.8997.6188.5564.24
Book Value[Excl.RevalReserv]/Share (Rs.) 282.34268.14380.24344.52296.34
Book Value[Incl.RevalReserv]/Share (Rs.) 282.34268.14380.24344.52296.34
Revenue From Operations / Share (Rs.) 333.10296.21389.17332.34295.08
PBDIT / Share (Rs.) 99.4569.80121.72117.8388.43
PBIT / Share (Rs.) 88.7359.45107.13104.4877.51
PBT / Share (Rs.) 88.1658.98105.94103.5375.71
Net Profit / Share (Rs.) 64.6046.5483.0175.2053.33
NP After MI And SOA / Share (Rs.)64.6046.5483.0175.2053.33
PBDIT Margin (%) 29.8523.5631.2735.4529.96
PBIT Margin (%) 26.6320.0627.5231.4326.26
PBT Margin (%) 26.4619.9127.2231.1525.65
Net Profit Margin (%) 19.3915.7121.3322.6218.07
NP After MI And SOA Margin (%)19.3915.7121.3322.6218.07
Return on Networth / Equity (%) 22.8717.3521.8321.8217.99
Return on Capital Employeed (%) 29.9521.2126.9829.0225.06
Return On Assets (%) 17.5912.5617.5717.3014.09
Total Debt / Equity (X) 0.000.000.000.000.01
Asset Turnover Ratio (%) 0.900.810.830.790.76
Current Ratio (X) 3.052.493.503.132.71
Quick Ratio (X) 2.121.772.281.941.89
Inventory Turnover Ratio (X) 1.141.191.101.251.28
Dividend Payout Ratio (NP) (%) 78.6815.2511.5312.6724.25
Dividend Payout Ratio (CP) (%) 67.4812.479.8110.7620.13
Earning Retention Ratio (%) 21.3284.7588.4787.3375.75
Cash Earning Retention Ratio (%) 32.5287.5390.1989.2479.87
Interest Coverage Ratio (X) 174.28151.01102.45123.8965.11
Interest Coverage Ratio (Post Tax) (X) 114.20101.6870.8780.0740.60
Enterprise Value (Cr.) 28149.1114945.6115321.6715384.3011819.91
EV / Net Operating Revenue (X) 6.693.994.595.324.57
EV / EBITDA (X) 22.4016.9514.6615.0215.24
MarketCap / Net Operating Revenue (X) 6.724.084.655.404.63
Retention Ratios (%) 21.3184.7488.4687.3275.74
Price / BV (X) 7.934.514.765.214.61
Price / Net Operating Revenue (X) 6.724.084.655.404.63
EarningsYield 0.020.030.040.040.03

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Ajanta Pharma Ltd as of February 18, 2025 is: ₹2,046.21

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 February 18, 2025, Ajanta Pharma Ltd is Overvalued by 23.10% compared to the current share price ₹2,661.00

Intrinsic Value of Ajanta Pharma Ltd as of February 18, 2025 is: 2,256.41

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 February 18, 2025, Ajanta Pharma Ltd is Overvalued by 15.20% compared to the current share price ₹2,661.00

Last 5 Year EPS CAGR: 10.27%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 37.50%, which is a positive sign.
  2. The company has higher reserves (2,163.00 cr) compared to borrowings (52.46 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (125.38 cr) and profit (584.92 cr) over the years.
  1. The stock has a high average Working Capital Days of 95.17, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 186.92, 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 Ajanta Pharma Ltd:
    1. Net Profit Margin: 19.39%
      • 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: 29.95% (Industry Average ROCE: 16.05%)
      • 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%: 22.87% (Industry Average ROE: 15.89%)
      • 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): 114.2
      • 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: 2.12
      • 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: 37 (Industry average Stock P/E: 35.1)
      • 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
      • 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

Ajanta Pharma Ltd. is a Public Limited Listed company incorporated on 31/12/1979 and has its registered office in the State of Maharashtra, India. Company's Corporate Identification Number(CIN) is L24230MH1979PLC022059 and registration number is 022059. Currently Company is involved in the business activities of Manufacture of pharmaceuticals, medicinal chemical and botanical products. Company's Total Operating Revenue is Rs. 3971.12 Cr. and Equity Capital is Rs. 25.27 Cr. for the Year ended 31/03/2024.
INDUSTRYADDRESSCONTACT
PharmaceuticalsAjanta House, Charkop, Mumbai Maharashtra 400067info@ajantapharma.com
http://www.ajantapharma.com
Management
NamePosition Held
Mr. Mannalal B AgrawalChairman
Mr. Madhusudan B AgrawalVice Chairman
Mr. Yogesh M AgrawalManaging Director
Mr. Rajesh M AgrawalJoint Managing Director
Mr. K H ViswanathanIndependent Director
Mr. Prabhakar R DalalIndependent Director
Dr. Anjana GrewalIndependent Director
Mr. Chandrakant M KhetanIndependent Director

FAQ

What is Ajanta Pharma Ltd's true worth and is it a good investment?

Let's break down Ajanta Pharma Ltd's valuation simply:

We calculate intrinsic value using the PE Ratio Method - comparing the company's current price-to-earnings ratio with its historical average and industry peers. Think of it like checking if a stock is "on sale" compared to its typical pricing.

As of 18 February 2025:

  • Calculated Fair Value: ₹2046.21
  • Current Market Price: ₹2,661.00
  • Variance: 23.10% lower

This suggests Ajanta Pharma Ltd is currently overvalued by 23.10%. For context:

  • Market Cap: 33,236 Cr.
  • 52-Week Range: 3,486/1,998
  • Reserves (Sep 2024): ₹3,652 Cr
  • Liabilities: 4,790 Cr

Remember: The PE method gives a snapshot based on earnings multiples. While useful for quick comparisons, investors should also consider growth prospects, industry trends, and economic conditions. This calculation assumes historical PE ratios remain relevant - always verify with current market dynamics.

What is the Market Cap of Ajanta Pharma Ltd?

The Market Cap of Ajanta Pharma Ltd is 33,236 Cr..

What is the current Stock Price of Ajanta Pharma Ltd as on 18 February 2025?

The current stock price of Ajanta Pharma Ltd as on 18 February 2025 is ₹2,661.

What is the High / Low of Ajanta Pharma Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Ajanta Pharma Ltd stocks is 3,486/1,998.

What is the Stock P/E of Ajanta Pharma Ltd?

The Stock P/E of Ajanta Pharma Ltd is 37.0.

What is the Book Value of Ajanta Pharma Ltd?

The Book Value of Ajanta Pharma Ltd is 294.

What is the Dividend Yield of Ajanta Pharma Ltd?

The Dividend Yield of Ajanta Pharma Ltd is 1.35 %.

What is the ROCE of Ajanta Pharma Ltd?

The ROCE of Ajanta Pharma Ltd is 31.6 %.

What is the ROE of Ajanta Pharma Ltd?

The ROE of Ajanta Pharma Ltd is 23.2 %.

What is the Face Value of Ajanta Pharma Ltd?

The Face Value of Ajanta Pharma Ltd is 2.00.

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 Ajanta Pharma 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