ScoreWhy is Divis Laboratories Ltd ?
1
High Management Efficiency with a high ROE of 18.24%
2
Company has a low Debt to Equity ratio (avg) at 0 times
3
Poor long term growth as Operating profit has grown by an annual rate 8.52% of over the last 5 years
4
Positive results in Dec 24
- PAT(HY) At Rs 1,099.00 cr has Grown at 55.67 %
- NET SALES(HY) At Rs 4,657.00 cr has Grown at 23.72 %
- PBDIT(Q) Highest at Rs 743.00 cr.
5
Stock is technically in a Mildly Bullish range
- The stocks MACD and KST technical factors are also Bullish
6
With ROE of 13.4, it has a Very Expensive valuation with a 10.4 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 50.00%, its profits have risen by 49.5% ; the PEG ratio of the company is 1.4
7
High Institutional Holdings at 38.52%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
8
Market Beating Performance
- Even though the market (BSE 500) has generated negative returns of -0.94% in the last 1 year, the stock has been able to generate 50.00% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Divi's Lab. should be less than 10%
- Overall Portfolio exposure to Pharmaceuticals & Drugs should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Drugs)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Divi's Lab. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Divi's Lab.
49.96%
1.79
27.86%
SENSEX
0.45%
0.03
14.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
11.48%
EBIT Growth (5y)
8.52%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.69
Tax Ratio
25.24%
Dividend Payout Ratio
49.69%
Pledged Shares
0
Institutional Holding
38.52%
ROCE (avg)
28.92%
ROE (avg)
18.24%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
69
Industry P/E
33
Price to Book Value
10.43
EV to EBIT
57.58
EV to EBITDA
49.60
EV to Capital Employed
13.78
EV to Sales
15.36
PEG Ratio
1.40
Dividend Yield
0.56%
ROCE (Latest)
21.46%
ROE (Latest)
13.38%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend17What is working for the Company
PAT(HY)
At Rs 1,099.00 cr has Grown at 55.67 %
NET SALES(HY)
At Rs 4,657.00 cr has Grown at 23.72 %
PBDIT(Q)
Highest at Rs 743.00 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 32.04%
PBT LESS OI(Q)
Highest at Rs 644.00 cr.
EPS(Q)
Highest at Rs 22.23
-1What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Divi's Lab.
Net Sales - Half Yearly
At Rs 4,657.00 cr has Grown at 23.72 %
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 743.00 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 32.04%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 644.00 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 589.00 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 589.00 cr has Grown at 28.3 %
over average PAT of the previous four quarters of Rs 459.00 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 22.23
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
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