Glenmark Pharmaceuticals Limited
Glenmark Pharmaceuticals Limited Fundamental Analysis
Glenmark Pharmaceuticals Limited (GLENMARK.BO) shows weak financial fundamentals with a PE ratio of 55.24, profit margin of 6.49%, and ROE of 11.93%. The company generates $164.1B in annual revenue with moderate year-over-year growth of 5.68%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 49.4/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GLENMARK.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakGLENMARK.BO struggles to generate sufficient returns from assets.
Valuation Score
WeakGLENMARK.BO trades at a premium to fair value.
Growth Score
ModerateGLENMARK.BO shows steady but slowing expansion.
Financial Health Score
ExcellentGLENMARK.BO maintains a strong and stable balance sheet.
Profitability Score
WeakGLENMARK.BO struggles to sustain strong margins.
Key Financial Metrics
Is GLENMARK.BO Expensive or Cheap?
P/E Ratio
GLENMARK.BO trades at 55.24 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, GLENMARK.BO's PEG of 10.08 indicates potential overvaluation.
Price to Book
The market values Glenmark Pharmaceuticals Limited at 6.14 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 22.92 times EBITDA. This signals the market has high growth expectations.
How Well Does GLENMARK.BO Make Money?
Net Profit Margin
For every $100 in sales, Glenmark Pharmaceuticals Limited keeps $6.49 as profit after all expenses.
Operating Margin
Core operations generate 14.38 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.93 in profit for every $100 of shareholder equity.
ROA
Glenmark Pharmaceuticals Limited generates $5.61 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Glenmark Pharmaceuticals Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Glenmark Pharmaceuticals Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
GLENMARK.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
55.24
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
10.08
vs 25 benchmark
P/B Ratio
Price to book value ratio
6.14
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.59
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.13
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.65
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.12
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.20
vs 25 benchmark
How GLENMARK.BO Stacks Against Its Sector Peers
| Metric | GLENMARK.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 55.24 | 29.45 | Worse (Expensive) |
| ROE | 11.93% | 779.00% | Weak |
| Net Margin | 6.49% | -24936.00% (disorted) | Weak |
| Debt/Equity | 0.13 | 0.26 | Strong (Low Leverage) |
| Current Ratio | 1.65 | 4.65 | Neutral |
| ROA | 5.61% | -19344.00% (disorted) | Weak |
GLENMARK.BO outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Glenmark Pharmaceuticals Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
25.38%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
34.93%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
-159.43%
Industry Style: Defensive, Growth, Innovation
Declining