Mehabe score: 4 G Factor: 4 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 4 and Piotski score of 9.
Description
ERIS Lifesciences is engaged in the business of manufacture and marketing of pharmaceutical products.Site:ERISMain Symbol:ERIS
Stock trades at 748.0, above its 50dma 728.69. It also trades above its 200dma 635.87. The stock remains bullish on techicals
The 52 week high is at 819.70 and the 52week low is at 470.00
Price Chart
P/E Chart
Sales and Margin
Strengths
– is almost debt free.
– has a good return on equity (ROE) track record: 3 Years ROE 25.56%
Weakness
– Promoter holding has decreased over last quarter: -1.44%
-Tax rate seems low
Competition
– The industry trades at a mean P/E of 34.2x. Hester Bios trades at the industry’s max P/E of 54.73x. ERIS trades at a P/E of 27.3x
– Industry’s mean G-Factor is 3.9 while the mean Piotski score is 9.0. ERIS has a G-Factor of 4 and Piotski scoreof 9.
– Average 1 month return for industry is 4.1%. The max 1- month return was given by Caplin Point Lab: a return of 34.39 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 349.0 cr compared to Rs 293.0 cr for period ended Jun 2020, a rise of 19.1%
Operating Profits reported at Rs 127.0 cr for period ended Jun 2021 vis-vis 104.0 for period ended Jun 2020 .
Operating Margins expanded 89.5 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 7.86 compared to Rs 5.03 for previous quarter ended Mar 2021 and Rs 6.56 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 1268.0 cr for period ended TTM vis-vis sales of Rs 1212.0 cr for the period ended Mar 2021, a growth of 4.4%. The 3 year sales cagr stood at 8.9%.
Net Profit reported at Rs 373.0 cr for period ended TTM vis-vis sales of Rs 355.0 cr for the period ended Mar 2021, rising 4.8%.
Company recorded a Net Profit CAGR of 8.6% 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 375.0 cr for period ended Mar 2021 vis-vis Rs 271.0 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 had stable/constant Return on Equity (RoE) metric. The RoE on Last Year basis was 25.0% compared to 26.0% over the last 3 Years. – The stock has given a return of 38% on a 1 Year basis vis-vis a return of 0% over the last 3 Years. – The compounded sales growth on a TTM bassis is 16% vis-vis a compounded sales growth of 12% over the last 3 Years. – The compounded profit growth on a TTM basis is 24% vis-vis a compounded profit growth of 7% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Jun 2021 fii holding stood at 13.49% vis-vis 12.42% for Mar 2021 – Public shareholding has remained largely constant. The Jun 2021 public holding stood at 23.77% vis-vis 23.78% for Mar 2021
Conclusion
– is almost debt free.
– has a good return on equity (ROE) track record: 3 Years ROE 25.56% – Promoter holding has decreased over last quarter: -1.44%
-Tax rate seems low
