ScoreWhy is Zydus Lifesciences Ltd ?
1
Low Debt Company with Strong Long Term Fundamental Strength
- Healthy long term growth as Net Sales has grown by an annual rate of 13.79% and Operating profit at 19.95%
- Company has a Debt to Equity ratio (avg) of 0.05 times
- The company has been able to generate a Return on Equity (avg) of 17.49% signifying high profitability per unit of shareholders funds
2
With ROCE of 21.8, it has a Attractive valuation with a 3.8 Enterprise value to Capital Employed
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 11.88%, its profits have risen by 4.2% ; the PEG ratio of the company is 4.7
3
Majority shareholders : Promoters
4
Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks
5
Consistent Returns over the last 3 years
- Along with generating 11.88% 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 buy?
- Overall Portfolio exposure to Zydus Lifesci. 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 Zydus Lifesci. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Zydus Lifesci.
11.88%
0.52
22.95%
Sensex
-8.86%
-0.66
13.50%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.79%
EBIT Growth (5y)
19.95%
EBIT to Interest (avg)
29.43
Debt to EBITDA (avg)
0.71
Net Debt to Equity (avg)
0.20
Sales to Capital Employed (avg)
0.84
Tax Ratio
25.22%
Dividend Payout Ratio
2.00%
Pledged Shares
0
Institutional Holding
18.16%
ROCE (avg)
21.43%
ROE (avg)
17.49%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
37
Price to Book Value
4.30
EV to EBIT
18.50
EV to EBITDA
14.67
EV to Capital Employed
3.76
EV to Sales
4.27
PEG Ratio
4.67
Dividend Yield
0.09%
ROCE (Latest)
21.80%
ROE (Latest)
20.09%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend4What is working for the Company
NET SALES(9M)
At Rs 22,468.50 cr has Grown at 22.31%
-23What is not working for the Company
INTEREST(9M)
At Rs 408.90 cr has Grown at 55.71%
PBT LESS OI(Q)
At Rs 1,218.70 cr has Fallen at -30.98%
PAT(Q)
At Rs 953.07 cr has Fallen at -35.0%
ROCE(HY)
Lowest at 19.13%
OPERATING PROFIT TO INTEREST (Q)
Lowest at 12.37 times
DEBT-EQUITY RATIO(HY)
Highest at 0.46 times
OPERATING PROFIT TO NET SALES (Q)
Lowest at 24.07%
EPS(Q)
Lowest at Rs 9.42
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Here's what is working for Zydus Lifesci.
Net Sales - Quarterly
Highest at Rs 8,017.00 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 8,017.00 cr has Grown at 21.96%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Zydus Lifesci.
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 1,218.70 cr has Fallen at -30.98%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 953.07 cr has Fallen at -35.0%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Interest - Quarterly
At Rs 156.00 cr has Grown at 26.83%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Operating Profit to Interest - Quarterly
Lowest at 12.37 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest - Quarterly
Highest at Rs 156.00 cr
in the last five quarters and Increased by 26.83 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Operating Profit Margin - Quarterly
Lowest at 24.07%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 1,218.70 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 9.42
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Debt-Equity Ratio - Half Yearly
Highest at 0.46 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
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