ScoreWhy is West Pharmaceutical Services, Inc. ?
1
High Management Efficiency with a high ROE of 22.89%
2
Company has a low Debt to Equity ratio (avg) at times
3
Healthy long term growth as Operating profit has grown by an annual rate 12.66%
4
Flat results in Jun 25
- OPERATING CASH FLOW(Y) Lowest at USD 676.7 MM
5
With ROE of 18.49%, it has a fair valuation with a 6.12 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -14.35%, its profits have fallen by -14%
6
Below par performance in long term as well as near term
- Along with generating -14.35% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to West Pharmaceutical Services, Inc. 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 West Pharmaceutical Services, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
West Pharmaceutical Services, Inc.
50.47%
-0.26
56.15%
S&P 500
25.41%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.45%
EBIT Growth (5y)
8.59%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.07
Sales to Capital Employed (avg)
0.97
Tax Ratio
20.26%
Dividend Payout Ratio
12.66%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
32.01%
ROE (avg)
22.89%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
34
Industry P/E
Price to Book Value
5.61
EV to EBIT
27.10
EV to EBITDA
21.35
EV to Capital Employed
6.61
EV to Sales
5.61
PEG Ratio
7.67
Dividend Yield
0.35%
ROCE (Latest)
24.37%
ROE (Latest)
16.61%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
INVENTORY TURNOVER RATIO(HY)
Highest at 4.88 times
DIVIDEND PER SHARE(HY)
Highest at USD 5.07
NET SALES(Q)
Highest at USD 844.6 MM
OPERATING PROFIT(Q)
Highest at USD 227.9 MM
PRE-TAX PROFIT(Q)
Highest at USD 184.5 MM
RAW MATERIAL COST(Y)
Fallen by -5.51% (YoY
-12What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 11,994.74
INTEREST(Q)
Highest at USD 1.9 MM
Here's what is working for West Pharmaceutical Services, Inc.
Net Sales
Highest at USD 844.6 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Operating Profit
Highest at USD 227.9 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 184.5 MM and Grown
In each period in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Inventory Turnover Ratio
Highest at 4.88 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Dividend per share
Highest at USD 5.07 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Raw Material Cost
Fallen by -5.51% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for West Pharmaceutical Services, Inc.
Interest
At USD 1.9 MM has Grown at inf%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Interest Coverage Ratio
Lowest at 11,994.74
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at USD 1.9 MM
in the last five periods and Increased by inf% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Non Operating Income
Highest at USD 0.02 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
