Recent Price Movement and Market Context
The stock has been on a declining trajectory for the past two consecutive sessions, registering a cumulative loss of 5.53% over this period. Today’s fall of 1.80% further extended its underperformance, lagging the Pharmaceuticals & Biotechnology sector by 0.83%. Themis Medicare’s current price is substantially below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, underscoring the prevailing bearish sentiment.
In contrast, the broader market, represented by the Sensex, experienced a negative session, closing down 525.47 points or 0.72% at 82,969.02 after a flat opening. Despite this, the Sensex remains within 3.84% of its 52-week high of 86,159.02, although it has been on a three-week losing streak with a cumulative decline of 3.26%. The Sensex’s 50-day moving average remains above its 200-day moving average, indicating a longer-term positive trend that Themis Medicare has yet to reflect.
Financial Performance and Profitability Concerns
Themis Medicare’s financial metrics reveal persistent challenges. Over the last five years, the company’s operating profit has contracted at an annualised rate of -189.22%, signalling significant erosion in core profitability. The latest quarterly results continue this trend, with the company reporting a Profit Before Tax (PBT) excluding other income of Rs. -6.69 crores, a steep decline of 152.0% compared to the previous four-quarter average.
Net sales for the latest six-month period stood at Rs. 175.57 crores, reflecting a contraction of 26.85%. Correspondingly, the company posted a net loss (PAT) of Rs. -17.84 crores over the same period, also down by 26.85%. These figures highlight ongoing pressures on revenue generation and profitability, contributing to the stock’s subdued performance.
Our current monthly pick, this Mid Cap from Automobile Two & Three Wheelers, survived rigorous evaluation against dozens of contenders. See why experts are backing this one!
- - Rigorous evaluation cleared
- - Expert-backed selection
- - Mid Cap conviction pick
Valuation and Risk Profile
The stock’s valuation metrics indicate elevated risk relative to its historical averages. Over the past year, Themis Medicare’s stock price has declined by 66.28%, while its profits have deteriorated by 150.9%. This divergence between price and earnings performance reflects investor caution and the company’s challenging financial position.
Despite its market capitalisation, domestic mutual funds hold no stake in Themis Medicare, which may suggest limited institutional confidence in the company’s current valuation or business outlook. The stock’s Mojo Score stands at 17.0, with a Mojo Grade of Strong Sell as of 1 February 2025, downgraded from a Sell rating, reflecting a deteriorated outlook based on MarketsMOJO’s comprehensive evaluation framework.
Long-Term and Recent Performance Comparison
Over the last year, Themis Medicare’s stock has underperformed the Sensex by a wide margin, with the benchmark index delivering a positive return of 8.33% compared to the company’s negative 66.28%. The stock has also lagged the BSE500 index over the past three years, one year, and three months, indicating sustained underperformance across multiple time horizons.
While the company’s debt servicing capability remains relatively strong, with a low Debt to EBITDA ratio of 0.86 times, this has not translated into improved market sentiment or stock performance.
Themis Medicare Ltd or something better? Our SwitchER feature analyzes this small-cap Pharmaceuticals & Biotechnology stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Summary of Key Metrics
Themis Medicare’s 52-week high was Rs.272.05, highlighting the extent of the recent decline to Rs.90.35. The stock’s current market cap grade is 3, indicating a modest market capitalisation relative to peers. The company’s negative EBITDA and four consecutive quarters of losses have contributed to its current standing as a Strong Sell in the MarketsMOJO grading system.
In the context of the Pharmaceuticals & Biotechnology sector, Themis Medicare’s recent performance contrasts with broader sector trends, where many companies have maintained or improved valuations despite market volatility. The stock’s ongoing decline and financial results have thus positioned it at a significant discount to historical levels and sector averages.
Conclusion
Themis Medicare Ltd’s stock reaching a 52-week low of Rs.90.35 reflects a continuation of a challenging period marked by declining revenues, sustained losses, and underwhelming returns relative to the broader market and sector. While the company maintains a manageable debt profile, its financial performance and valuation metrics have weighed heavily on investor sentiment, resulting in a strong sell rating and subdued market interest.
Unlock special upgrade rates for a limited period. Start Saving Now →
