Mehabe score: 2 G Factor: 6 Piotski Score: 5 The stock has a rating HOLD. 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 5.
Description
Wanbury is engaged in the business of pharmaceutical and related activities, including research.Site:WANBURYMain Symbol:WANBURY
Stock trades at 71.2, below its 50dma 77.78 and below its 200dma 77.49. The stock remains bearish on technicals
The 52 week high is at 115.00 and the 52week low is at 34.60
Price Chart
P/E Chart
Sales and Margin
Strengths
– is expected to give good quarter
-Debtor days have improved from 41.33 to 32.07 days.
Weakness
– has low interest coverage ratio.
-The company has delivered a poor sales growth of -1.36% over past five years.
-Promoter holding is low: 39.90%
-Contingent liabilities of Rs.412.35 Cr.
-Promoters have pledged 76.76% of their holding.
-Promoter holding has decreased over last 3 years: -15.03%
Competition
– The industry trades at a mean P/E of 20.8x. Shilpa Medicare trades at the industry’s max P/E of 134.68x. WANBURY trades at a P/E of x
– Industry’s mean G-Factor is 3.1 while the mean Piotski score is 8.0. WANBURY has a G-Factor of 6 and Piotski scoreof 5.
– Average 1 month return for industry is -0.7%. The max 1- month return was given by Hikal: a return of 6.8 %
Quarterly Results
Sales for period ended Sep 2021 is Rs 124.09 cr compared to Rs 95.21 cr for period ended Sep 2020, a rise of 30.3%
Operating Profits reported at Rs 7.1 cr for period ended Sep 2021 vis-vis 8.98 for period ended Sep 2020 .
Operating Margins contracted -371.0 bps for period ended Sep 2021 vis-vis Sep 2020 .
The EPS for Sep 2021 was Rs -0.18 compared to Rs -0.26 for previous quarter ended Jun 2021 and Rs 0.64 for Sep 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 482.0 cr for period ended TTM vis-vis sales of Rs 392.0 cr for the period ended Mar 2021, a healthy growth of 18.7%. The 3 year sales cagr stood at 7.2%.
Net Profit reported at Rs -4.0 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
CashFlow from operating activities was positive.
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The stock has given a return of 102% on a 1 Year basis vis-vis a return of 52% over the last 3 Years. – The compounded sales growth on a TTM bassis is 33% vis-vis a compounded sales growth of 2% over the last 3 Years. – The compounded profit growth on a TTM basis is 92% vis-vis a compounded profit growth of 17% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Sep 2021 public holding stood at 60.09% vis-vis 60.09% for Jun 2021
Conclusion
– is expected to give good quarter
-Debtor days have improved from 41.33 to 32.07 days. – has low interest coverage ratio.
-The company has delivered a poor sales growth of -1.36% over past five years.
-Promoter holding is low: 39.90%
-Contingent liabilities of Rs.412.35 Cr.
-Promoters have pledged 76.76% of their holding.
-Promoter holding has decreased over last 3 years: -15.03%
The business fundamentals of the stock remain stable. Stronger near term results will build interest in the stock. We suggest to wait for a upturn in business performance.
Technically, the stock remains below its 50 DMA 77.78 and is trading at 71.2. Shows a near term lack of buying interest.
