Neat and Clean Breakout seen in Pharmaceuticals company

20 Jul

Hello Everyone, i hope you all will be doing good. I have brought an analysis on Pharmaceuticals stock which has given neat and clean short term consolidation zone breakout. Stock name is Alembic Pharmaceuticals and it is in the business of development, manufacturing, and marketing of Pharmaceuticals products i.e. Formulations and Active Pharmaceutical Ingredients.

Leading Pharma company:-
The company has 3 R&D and 5 manufacturing facilities.
Alembic is among the top 25 players in domestic formulations market. The company has a portfolio of about 200 formulation brands, of which three are among the top 300 domestic formulation brands in India. It has a share of 1.5% in the domestic market.

Market Share:-
The company has 1.5% share of the Indian Pharma market with 4 brands with revenue of Rs.1 bn. Its products like Roxid has ~95% market share, Althrocin (~90%), Deltone (~67%), Gerijoint (~50%), Elata (~50%) etc. Prescription wise Alembic ranks at 18th Position.

Technically stock has given breakout of short term consolidation breakout of Rectangle pattern with good volume, there is higher probability that we can see this stock towards 1500+ in short term and 2500+ in long term.
Stock is above 200-DEMA, and MACD Indicator is showing bullish crossover.
Volume indicator is suggesting huge bullishness in coming few months.

Market Cap
₹ 21,237 Cr.
Current Price
₹ 1,080
High / Low
₹ 1,119 / 682
Stock P/E
34.6
Book Value
₹ 245
Dividend Yield
1.02 %
ROCE
13.1 %
ROE
13.3 %
Face Value
₹ 2.00
Industry PE
34.6
Debt
₹ 513 Cr.
EPS
₹ 31.3
Promoter holding
69.6 %
Intrinsic Value
₹ 490
Pledged percentage
0.00 %
EVEBITDA
22.6
Change in Prom Hold
0.00 %
Profit Var 5Yrs
1.07 %
Sales growth 5Years
9.62 %
Return over 5years
16.0 %
Debt to equity
0.11
Net profit
₹ 616 Cr.
ROE 5Yr
15.9 %
Profit growth
77.2 %
Earnings yield
3.17 %

Disclaimer:- Please always do your own analysis or consult with your financial advisor before taking any kind of trades.

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