Mehabe score: 4 G Factor: 6 Piotski Score: 9 The stock has a rating . 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 6 and Piotski score of 9.
Description
AHCL has been manufacturing ayurvedic balm for pain management since 1893, and is currently managed by the third-generation of promoters. The company is more than 120 years old and is into OTC products in the segments of pain management, women’s hygiene, and packaged fruit juice drink. #
Main Points
High Market Share in Modern Trade #
Amrutanjan has maintained the No. 1 rank in Modern Trade in Head Category with the volume market share of 41.1%* in CY19.Site:AMRUTANJANMain Symbol:AMRUTANJAN
Stock trades at 672.0, below its 50dma 686.14. However it is trading above its 200dma 601.79. 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 686.14.
The 52 week high is at 804.90 and the 52week low is at 400.25
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
– is almost debt free.
– has delivered good profit growth of 23.45% CAGR over last 5 years
– has been maintaining a healthy dividend payout of 23.37%
Weakness
– Stock is trading at 9.11 times its book value
Competition
– The industry trades at a mean P/E of 25.0x. Hester Bios trades at the industry’s max P/E of 47.74x. AMRUTANJAN trades at a P/E of 32.1x
– Industry’s mean G-Factor is 3.7 while the mean Piotski score is 9.0. AMRUTANJAN has a G-Factor of 6 and Piotski scoreof 9.
– Average 1 month return for industry is 2.8%. The max 1- month return was given by Caplin Point Lab: a return of 24.43 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 78.0 cr compared to Rs 47.0 cr for period ended Jun 2020, a rise of 66.0%
Operating Profits reported at Rs 15.0 cr for period ended Jun 2021 vis-vis 8.0 for period ended Jun 2020 .
Operating Margins expanded 220.9 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 4.13 compared to Rs 3.5 for previous quarter ended Mar 2021 and Rs 2.2 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 364.0 cr for period ended TTM vis-vis sales of Rs 333.0 cr for the period ended Mar 2021, a growth of 8.5%. The 3 year sales cagr stood at 12.9%.
Net Profit reported at Rs 67.0 cr for period ended TTM vis-vis sales of Rs 61.0 cr for the period ended Mar 2021, rising 9.0%.
Company recorded a healthy Net Profit CAGR of 38.9% over the last 3 years
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
CashFlow from operating activities: Rs 90.0 cr for period ended Mar 2021 vis-vis Rs 18.0 cr for period ended Mar 2020
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The company has improved its Return on Equity (RoE) metric. The RoE on Last Year basis was 33.0% compared to 23.0% over the last 3 Years. – The stock has given a return of 40% on a 1 Year basis vis-vis a return of 41% over the last 3 Years. – The compounded sales growth on a TTM bassis is 27% vis-vis a compounded sales growth of 15% over the last 3 Years. – The compounded profit growth on a TTM basis is 144% vis-vis a compounded profit growth of 48% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Jun 2021 fii holding stood at 1.5% vis-vis 2.0% for Mar 2021 – Public shareholding has remained largely constant. The Jun 2021 public holding stood at 40.92% vis-vis 40.16% for Mar 2021
Conclusion
– has reduced debt.
– is almost debt free.
– has delivered good profit growth of 23.45% CAGR over last 5 years
– has been maintaining a healthy dividend payout of 23.37% – Stock is trading at 9.11 times its book value
