Mehabe score: 0 G Factor: 3 Piotski Score: 3 The stock has a rating SELL. The mehabe team score is reflective of its fundamental and technical merits. A rating above 8 is considered good buy. The stock has a G-Factor of 3 and Piotski score of 3.
Description
Bharat Immunologicals and Biologicals Corporation is an India-based biotechnology company. The Company manufactures and produces a range of pharmaceuticals products, such as Oral Polio Vaccines (OPV Vaccine), Zinc Tablet and Diarrhea Management Kit (Zinc Tablet + oral rehydration salts (ORS)).Site:524663Main Symbol:BIBCL
Stock trades at 61.8, below its 50dma 65.68. However it is trading above its 200dma 53.56. The stock remains weak in the short term due to near term bearish momentum. However overall bullish structure remains intact. Price action will further build up as it moves above its dma50, currently situated at 65.68.
The 52 week high is at 94.50 and the 52week low is at 21.25
Price Chart
P/E Chart
Sales and Margin
Strengths
– is expected to give good quarter
Weakness
– Stock is trading at 36.11 times its book value
– has low interest coverage ratio.
– has a low return on equity of -39.52% for last 3 years.
Competition
– The industry trades at a mean P/E of 38.4x. Medicamen Biotec trades at the industry’s max P/E of 58.85x. 524663 trades at a P/E of x
– Industry’s mean G-Factor is 3.4 while the mean Piotski score is 9.0. 524663 has a G-Factor of 3 and Piotski scoreof 3.
– Average 1 month return for industry is 5.5%. The max 1- month return was given by Caplin Point Lab: a return of 36.69 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 14.22 cr compared to Rs 19.15 cr for period ended Jun 2020, a fall of 25.7%
Operating Profits reported at Rs 1.04 cr for period ended Jun 2021 vis-vis 0.63 for period ended Jun 2020 .
Operating Margins expanded 402.4 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 0.45 compared to Rs -1.51 for previous quarter ended Mar 2021 and Rs -0.18 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 80.0 cr for period ended TTM vis-vis sales of Rs 85.0 cr for the period ended Mar 2021, a fall of 6.2%. The 3 year sales cagr stood at -1.6%.
Operating margins shrank to -27.0% for period ended TTM vis-vis -26.0% for period ended Mar 2021, contraction of 100.0 bps.
Net Profit reported at Rs -10.0 cr for period ended TTM vis-vis sales of Rs -13.0 cr for the period ended Mar 2021, rising 0%.
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The company has worsened on its Return on Equity (RoE) metric. The RoE on Last Year basis was -94.0% compared to -40.0% over the last 3 Years. – The stock has given a return of 105% on a 1 Year basis vis-vis a return of 58% over the last 3 Years. – The compounded sales growth on a TTM bassis is 28% vis-vis a compounded sales growth of 35% over the last 3 Years. – The compounded profit growth on a TTM basis is -28% vis-vis a compounded profit growth of % over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Jun 2021 public holding stood at 40.75% vis-vis 40.75% for Mar 2021
Conclusion
– is expected to give good quarter – Stock is trading at 36.11 times its book value
– has low interest coverage ratio.
– has a low return on equity of -39.52% for last 3 years.
Fundamentally, the stock remains weak. The business fundamentals are on shaky ground. Weak near term results have dampened and questioned business drivers. We suggest to wait for a upturn in business performance.
Technically, the stock reflects the poor fundamentals. The stock remains below its 50 DMA 65.68 and is trading at 61.8. It has shown near term lack of bullish momentum. We suggest to observe price action. However as investors, who like to avoid timing the markets, we suggest to avoid the stock
