ScoreWhy is Kwality Pharmaceuticals Ltd ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.13 times
2
With a growth in Net Profit of 66.9%, the company declared Very Positive results in Sep 25
- The company has declared positive results for the last 7 consecutive quarters
- OPERATING CF(Y) Highest at Rs 52.72 Cr
- NET SALES(9M) At Rs 338.21 cr has Grown at 29.04%
- ROCE(HY) Highest at 19.03%
3
With ROCE of 20.1, it has a Fair valuation with a 3.1 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 18.05%, its profits have risen by 44.8% ; the PEG ratio of the company is 0.5
4
Market Beating performance in long term as well as near term
- Along with generating 18.05% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Kwality Pharma 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 Kwality Pharma for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Kwality Pharma
18.05%
0.34
53.67%
Sensex
7.21%
0.61
11.73%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
14.95%
EBIT Growth (5y)
6.21%
EBIT to Interest (avg)
8.12
Debt to EBITDA (avg)
1.06
Net Debt to Equity (avg)
0.26
Sales to Capital Employed (avg)
0.96
Tax Ratio
25.63%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.33%
ROCE (avg)
17.19%
ROE (avg)
16.81%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
22
Industry P/E
33
Price to Book Value
3.67
EV to EBIT
15.50
EV to EBITDA
12.27
EV to Capital Employed
3.11
EV to Sales
2.70
PEG Ratio
0.48
Dividend Yield
NA
ROCE (Latest)
20.07%
ROE (Latest)
16.91%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend25What is working for the Company
OPERATING CF(Y)
Highest at Rs 52.72 Cr
NET SALES(9M)
At Rs 338.21 cr has Grown at 29.04%
ROCE(HY)
Highest at 19.03%
INVENTORY TURNOVER RATIO(HY)
Highest at 5.04 times
PBT LESS OI(Q)
At Rs 17.55 cr has Grown at 42.34%
PAT(9M)
Higher at Rs 40.54 Cr
DEBT-EQUITY RATIO(HY)
Lowest at 0.38 times
OPERATING PROFIT TO NET SALES(Q)
Highest at 22.83%
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Kwality Pharma
Operating Cash Flow - Annually
Highest at Rs 52.72 Cr and Grown
each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 17.55 cr has Grown at 42.34%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 14.12 cr has Grown at 66.7%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Inventory Turnover Ratio- Half Yearly
Highest at 5.04 times and Grown
each half year in the last five half yearly periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Net Sales - Quarterly
At Rs 111.05 cr has Grown at 23.35%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 22.83%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Debt-Equity Ratio - Half Yearly
Lowest at 0.38 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
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