Why 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 87.79%, the company declared Outstanding results in Dec 25
- The company has declared positive results for the last 8 consecutive quarters
- ROCE(HY) Highest at 19.03%
- INVENTORY TURNOVER RATIO(HY) Highest at 5.04 times
- OPERATING PROFIT TO INTEREST(Q) Highest at 12.08 times
3
Market Beating performance in long term as well as near term
- Along with generating 93.50% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
How 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
93.5%
1.73
53.96%
Sensex
-3.52%
-0.27
12.93%
Quality key factors
Factor
Value
Sales Growth (5y)
23.30%
EBIT Growth (5y)
18.44%
EBIT to Interest (avg)
16.92
Debt to EBITDA (avg)
1.06
Net Debt to Equity (avg)
0.26
Sales to Capital Employed (avg)
0.96
Tax Ratio
26.50%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.83%
ROCE (avg)
17.19%
ROE (avg)
16.81%
Valuation Key Factors 
Factor
Value
P/E Ratio
26
Industry P/E
32
Price to Book Value
5.19
EV to EBIT
18.44
EV to EBITDA
15.00
EV to Capital Employed
4.31
EV to Sales
3.42
PEG Ratio
0.41
Dividend Yield
NA
ROCE (Latest)
20.07%
ROE (Latest)
16.91%
Loading Valuation Snapshot...
Technical 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 Bearish
Dow Theory
Bullish
Bullish
Technical Movement
33What is working for the Company
ROCE(HY)
Highest at 19.03%
INVENTORY TURNOVER RATIO(HY)
Highest at 5.04 times
OPERATING PROFIT TO INTEREST(Q)
Highest at 12.08 times
DEBT-EQUITY RATIO(HY)
Lowest at 0.38 times
NET SALES(Q)
Highest at Rs 123.44 cr
PBDIT(Q)
Highest at Rs 29.95 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 24.26%
PBT LESS OI(Q)
Highest at Rs 22.65 cr.
PAT(Q)
Highest at Rs 16.60 cr.
EPS(Q)
Highest at Rs 15.42
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Kwality Pharma
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 22.65 cr has Grown at 110.89%
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 16.60 cr has Grown at 94.7%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 123.44 cr has Grown at 46.24%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 12.08 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
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
Highest at Rs 123.44 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 29.95 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 24.26%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 22.65 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 16.60 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 15.42
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
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






