West Pharmaceutical Services, Inc.

  • Market Cap: Mid Cap
  • Industry: Pharmaceuticals & Biotechnology
  • ISIN: US9553061055
USD
240.31
4.85 (2.06%)
  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
DexCom, Inc.
Agilent Technologies, Inc.
Intuitive Surgical, Inc.
West Pharmaceutical Services, Inc.
GE Healthcare Technologies, Inc.
IDEXX Laboratories, Inc.
Stryker Corp.
Becton, Dickinson & Co.
Edwards Lifesciences Corp.
Danaher Corp.
Medtronic Plc

Why 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
stock-recommendationReal-Time Research Report

Verdict Report

How much should you hold?

  1. Overall Portfolio exposure to West Pharmaceutical Services, Inc. should be less than 10%
  2. 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.
4.43%
-0.26
56.15%
S&P 500
18.81%
0.70
20.15%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality 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%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
33
Industry P/E
Price to Book Value
5.54
EV to EBIT
26.75
EV to EBITDA
21.08
EV to Capital Employed
6.52
EV to Sales
5.54
PEG Ratio
7.57
Dividend Yield
0.36%
ROCE (Latest)
24.37%
ROE (Latest)
16.61%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

8What is working for the Company
DIVIDEND PER SHARE(HY)

Highest at USD 5.29

RAW MATERIAL COST(Y)

Fallen by -3.34% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 4.8 times

NET SALES(Q)

Highest at USD 806 MM

OPERATING PROFIT(Q)

Highest at USD 223.3 MM

PRE-TAX PROFIT(Q)

Highest at USD 177.4 MM

NET PROFIT(Q)

Highest at USD 144.72 MM

-2What is not working for the Company
ROCE(HY)

Lowest at 16.85%

Here's what is working for West Pharmaceutical Services, Inc.

Dividend per share
Highest at USD 5.29 and Grown
In each year in the last five years
MOJO Watch
Company is distributing higher dividend from profits generated

DPS (USD)

Net Sales
Highest at USD 806 MM
in the last five periods
MOJO Watch
Near term sales trend is positive

Net Sales (USD MM)

Operating Profit
Highest at USD 223.3 MM
in the last five periods
MOJO Watch
Near term Operating Profit trend is positive

Operating Profit (USD MM)

Pre-Tax Profit
Highest at USD 177.4 MM
in the last five periods
MOJO Watch
Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit
Highest at USD 144.72 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is positive

Net Profit (USD MM)

Inventory Turnover Ratio
Highest at 4.8 times
in the last five Semi-Annual periods
MOJO Watch
Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost
Fallen by -3.34% (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

Depreciation
Highest at USD 47 MM
in the last five periods
MOJO Watch
The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)