ScoreWhy is Wockhardt Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 2.09%
- Poor long term growth as Net Sales has grown by an annual rate of 4.49% over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 0.32
2
With a growth in Net Profit of 168.85%, the company declared Outstanding results in Mar 26
- The company has declared positive results for the last 3 consecutive quarters
- ROCE(HY) Highest at 7.47%
- OPERATING PROFIT TO INTEREST(Q) Highest at 4.50 times
- DEBT-EQUITY RATIO(HY) Lowest at 0.45 times
3
With ROCE of 6.5, it has a Expensive valuation with a 4.3 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 30.54%, its profits have risen by 738.3% ; the PEG ratio of the company is 0.1
4
Increasing Participation by Institutional Investors
- Institutional investors have increased their stake by 0.53% over the previous quarter and collectively hold 18.09% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Wockhardt 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 Wockhardt for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Wockhardt
30.54%
0.59
51.38%
Sensex
-3.74%
-0.28
13.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.49%
EBIT Growth (5y)
27.54%
EBIT to Interest (avg)
0.32
Debt to EBITDA (avg)
22.57
Net Debt to Equity (avg)
0.32
Sales to Capital Employed (avg)
0.49
Tax Ratio
16.39%
Dividend Payout Ratio
0
Pledged Shares
18.82%
Institutional Holding
18.09%
ROCE (avg)
0.01%
ROE (avg)
1.21%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
87
Industry P/E
35
Price to Book Value
5.29
EV to EBIT
65.13
EV to EBITDA
42.46
EV to Capital Employed
4.25
EV to Sales
8.21
PEG Ratio
0.12
Dividend Yield
NA
ROCE (Latest)
6.53%
ROE (Latest)
6.07%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Sideways
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend32What is working for the Company
ROCE(HY)
Highest at 7.47%
OPERATING PROFIT TO INTEREST(Q)
Highest at 4.50 times
DEBT-EQUITY RATIO(HY)
Lowest at 0.45 times
DEBTORS TURNOVER RATIO(HY)
Highest at 5.74 times
NET SALES(Q)
Highest at Rs 965.00 cr
PBDIT(Q)
Highest at Rs 225.00 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 23.32%
PBT LESS OI(Q)
Highest at Rs 122.00 cr.
PAT(Q)
Highest at Rs 146.91 cr.
EPS(Q)
Highest at Rs 10.25
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Wockhardt
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 122.00 cr has Grown at 820.8% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 13.25 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 146.91 cr has Grown at 358.7% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 32.03 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 4.50 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
Highest at Rs 965.00 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 965.00 cr has Grown at 22.5% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 787.75 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 225.00 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 23.32%
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 122.00 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 146.91 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 10.25
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debt-Equity Ratio - Half Yearly
Lowest at 0.45 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Debtors Turnover Ratio- Half Yearly
Highest at 5.74 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Wockhardt
Non Operating Income - Quarterly
Highest at Rs 45.00 cr
in the last five quartersMOJO 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
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