Akums Drugs & Pharmaceuticals Ltd (AKUMS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

P & G Health Ltd

Supriya Lifesci.

Sequent Scien.

Strides Pharma

Marksans Pharma

Zota Health Care

Aarti Pharma

Shilpa Medicare

FDC

Akums Drugs

Sudeep Pharma

Why is Akums Drugs & Pharmaceuticals Ltd ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 9.70%

Poor long term growth as Net Sales has grown by an annual rate of 6.10% and Operating profit at 17.54% over the last 5 years

Negative results in Sep 25

INTEREST(Latest six months) At Rs 46.44 cr has Grown at 380.25%
PBT LESS OI(Q) At Rs 33.30 cr has Fallen at -49.6% (vs previous 4Q average)
PAT(Q) At Rs 40.78 cr has Fallen at -50.1% (vs previous 4Q average)

Falling Participation by Institutional Investors

Institutional investors have decreased their stake by -1.54% over the previous quarter and collectively hold 11.55% of the company
These investors have better capability and resources to analyse fundamentals of companies than most retail investors

Below par performance in long term as well as near term

Along with generating -31.37% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Akums Drugs for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Akums Drugs

-31.21%

-0.85

36.76%

Sensex

4.37%

0.45

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.10%

EBIT Growth (5y)

17.54%

EBIT to Interest (avg)

4.61

Debt to EBITDA (avg)

2.32

Net Debt to Equity (avg)

-0.50

Sales to Capital Employed (avg)

1.78

Tax Ratio

1.29%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

11.55%

ROCE (avg)

7.85%

ROE (avg)

9.70%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.10

EV to EBIT

18.06

EV to EBITDA

11.50

EV to Capital Employed

3.18

EV to Sales

1.23

PEG Ratio

Dividend Yield

ROCE (Latest)

17.63%

ROE (Latest)

9.70%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bearish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

PAT(9M)

Higher at Rs 243.66 Cr

-18What is not working for the Company

INTEREST(Latest six months)

At Rs 46.44 cr has Grown at 380.25%

PBT LESS OI(Q)

At Rs 33.30 cr has Fallen at -49.6% (vs previous 4Q average

PAT(Q)

At Rs 40.78 cr has Fallen at -50.1% (vs previous 4Q average

OPERATING PROFIT TO INTEREST (Q)

Lowest at 4.05 times

NON-OPERATING INCOME(Q)

is 49.29 % of Profit Before Tax (PBT

EPS(Q)

Lowest at Rs 2.66

Loading Valuation Snapshot...

Here's what is not working for Akums Drugs

Interest - Latest six months

At Rs 46.44 cr has Grown at 380.25%

over previous Half yearly period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 33.30 cr has Fallen at -49.6% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 66.11 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 40.78 cr has Fallen at -50.1% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 81.77 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at 4.05 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs 33.30 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Non Operating Income - Quarterly

is 49.29 % of Profit Before Tax (PBT)

MOJO Watch

The company's income from non business activities is high; which is not a sustainable business model

Non Operating Income to PBT

Earnings per Share (EPS) - Quarterly

Lowest at Rs 2.66

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Non Operating Income - Quarterly

Highest at Rs 32.37 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income