Mehabe score: 5 G Factor: 4 Piotski Score: 8 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 8.
Description
GlaxoSmithKline Pharmaceuticals research, manufacture and make available a broad range of medicines and vaccines that benefit people.(Source : Company Web-site)Site:GLAXOMain Symbol:GLAXO
Stock trades at 1728.0, above its 50dma 1526.25. It also trades above its 200dma 1497.65. The stock remains bullish on techicals
The 52 week high is at 1807.50 and the 52week low is at 1376.00
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
– is almost debt free.
– has been maintaining a healthy dividend payout of 315.02%
Weakness
– Stock is trading at 19.53 times its book value
-The company has delivered a poor sales growth of 2.42% over past five years.
Competition
– The industry trades at a mean P/E of 66.0x. Novartis India trades at the industry’s max P/E of 116.53x. GLAXO trades at a P/E of 62.2x
– Industry’s mean G-Factor is 4.1 while the mean Piotski score is 8.0. GLAXO has a G-Factor of 4 and Piotski scoreof 8.
– Average 1 month return for industry is 4.1%. The max 1- month return was given by Glaxosmi. Pharma: a return of 14.1 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 790.0 cr compared to Rs 649.0 cr for period ended Jun 2020, a rise of 21.7%
Operating Profits reported at Rs 152.0 cr for period ended Jun 2021 vis-vis 114.0 for period ended Jun 2020 .
Operating Margins expanded 167.5 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 7.15 compared to Rs 0.85 for previous quarter ended Mar 2021 and Rs 6.54 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 3340.0 cr for period ended TTM vis-vis sales of Rs 3199.0 cr for the period ended Mar 2021, a growth of 4.2%. The 3 year sales cagr stood at 2.2%.
Operating margins expanded to 22.0% for period ended TTM vis-vis 21.0% for period ended Mar 2021, expansion of 100.0 bps.
Net Profit reported at Rs 368.0 cr for period ended TTM vis-vis sales of Rs 358.0 cr for the period ended Mar 2021, rising 2.7%.
Company reported a poor Net Profit CAGR of -6.1% 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 578.0 cr for period ended Mar 2021 vis-vis Rs 490.0 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 28.0% compared to 19.0% over the last 3 Years. – The stock has given a return of 17% on a 1 Year basis vis-vis a return of 3% over the last 3 Years. – The compounded sales growth on a TTM bassis is -1% vis-vis a compounded sales growth of 4% over the last 3 Years. – The compounded profit growth on a TTM basis is 175% vis-vis a compounded profit growth of 11% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Jun 2021 fii holding stood at 1.61% vis-vis 1.59% for Mar 2021 – Public shareholding has remained largely constant. The Jun 2021 public holding stood at 12.46% vis-vis 12.56% for Mar 2021
Conclusion
– has reduced debt.
– is almost debt free.
– has been maintaining a healthy dividend payout of 315.02% – Stock is trading at 19.53 times its book value
-The company has delivered a poor sales growth of 2.42% over past five years.
