ScoreWhy is Torrent Pharmaceuticals Ltd. ?
1
High Management Efficiency with a high ROCE of 24.08%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.01 times
3
Poor long term growth as Net Sales has grown by an annual rate of 8.93% over the last 5 years
4
The company has declared Positive results for the last 9 consecutive quarters
- OPERATING PROFIT TO INTEREST(Q) Highest at 22.56 times
- ROCE(HY) Highest at 27.85%
- PAT(Q) Highest at Rs 600.71 cr.
5
With ROCE of 30.4, it has a Very Expensive valuation with a 12.5 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 12.94%, its profits have risen by 24.6% ; the PEG ratio of the company is 2.4
6
High Institutional Holdings at 25.2%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
7
Consistent Returns over the last 3 years
- Along with generating 12.94% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Torrent 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 Torrent Pharma for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Torrent Pharma
12.61%
0.58
22.16%
Sensex
4.89%
0.40
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
8.93%
EBIT Growth (5y)
13.04%
EBIT to Interest (avg)
8.68
Debt to EBITDA (avg)
1.40
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
0.92
Tax Ratio
25.82%
Dividend Payout Ratio
56.67%
Pledged Shares
0
Institutional Holding
25.20%
ROCE (avg)
23.21%
ROE (avg)
22.06%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
59
Industry P/E
34
Price to Book Value
15.23
EV to EBIT
41.01
EV to EBITDA
32.74
EV to Capital Employed
12.48
EV to Sales
10.67
PEG Ratio
2.42
Dividend Yield
0.68%
ROCE (Latest)
30.43%
ROE (Latest)
25.66%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend19What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 22.56 times
ROCE(HY)
Highest at 27.85%
PAT(Q)
Highest at Rs 600.71 cr.
DEBT-EQUITY RATIO(HY)
Lowest at 0.33 times
NET SALES(Q)
Highest at Rs 3,302.00 cr
PBDIT(Q)
Highest at Rs 1,083.00 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 32.80%
PBT LESS OI(Q)
Highest at Rs 831.00 cr.
EPS(Q)
Highest at Rs 17.46
-1What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.51 times
Loading Valuation Snapshot...
Here's what is working for Torrent Pharma
Operating Profit to Interest - Quarterly
Highest at 22.56 times and Grown
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit After Tax (PAT) - Quarterly
Highest at Rs 600.71 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 3,302.00 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 1,083.00 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 32.80%
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 831.00 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 17.46
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debt-Equity Ratio - Half Yearly
Lowest at 0.33 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Torrent Pharma
Debtors Turnover Ratio- Half Yearly
Lowest at 5.51 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
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