ScoreWhy is Godavari Drugs Ltd ?
1
Weak Long Term Fundamental Strength with a -1.78% CAGR growth in Operating Profits over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.43 times
2
Flat results in Mar 26
3
With ROCE of 5.9, it has a Attractive valuation with a 1.4 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 24.25%, its profits have fallen by -12.8%
4
Increasing Participation by Institutional Investors
- Institutional investors have increased their stake by 1.97% over the previous quarter and collectively hold 2.47% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
5
Market Beating Performance
- Even though the market (BSE500) has generated negative returns of -5.28% in the last 1 year, the stock has been able to generate 24.25% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Godavari Drugs should be less than 10%
- Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Godavari Drugs for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Godavari Drugs
24.25%
0.44
55.19%
Sensex
-10.51%
-0.80
13.06%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-2.92%
EBIT Growth (5y)
-1.78%
EBIT to Interest (avg)
2.33
Debt to EBITDA (avg)
3.93
Net Debt to Equity (avg)
0.88
Sales to Capital Employed (avg)
1.96
Tax Ratio
19.17%
Dividend Payout Ratio
0
Pledged Shares
0.21%
Institutional Holding
2.47%
ROCE (avg)
12.90%
ROE (avg)
11.67%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
32
Industry P/E
33
Price to Book Value
1.75
EV to EBIT
23.60
EV to EBITDA
18.05
EV to Capital Employed
1.40
EV to Sales
1.75
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
5.94%
ROE (Latest)
5.42%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend4What is working for the Company
NET SALES(Q)
At Rs 33.16 cr has Grown at 35.2% (vs previous 4Q average
PBT LESS OI(Q)
Highest at Rs 1.38 cr.
PAT(Q)
Highest at Rs 1.21 cr.
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Godavari Drugs
Net Sales - Quarterly
Highest at Rs 33.16 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 33.16 cr has Grown at 35.2% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 24.54 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 1.38 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 1.21 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
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