Laurus Labs Limited
Laurus Labs Limited Fundamental Analysis
Laurus Labs Limited (LAURUSLABS.NS) shows moderate financial fundamentals with a PE ratio of 68.90, profit margin of 12.55%, and ROE of 18.71%. The company generates $67.2B in annual revenue with strong year-over-year growth of 10.18%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 60.3/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze LAURUSLABS.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakLAURUSLABS.NS struggles to generate sufficient returns from assets.
Valuation Score
WeakLAURUSLABS.NS trades at a premium to fair value.
Growth Score
ModerateLAURUSLABS.NS shows steady but slowing expansion.
Financial Health Score
ExcellentLAURUSLABS.NS maintains a strong and stable balance sheet.
Profitability Score
WeakLAURUSLABS.NS struggles to sustain strong margins.
Key Financial Metrics
Is LAURUSLABS.NS Expensive or Cheap?
P/E Ratio
LAURUSLABS.NS trades at 68.90 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, LAURUSLABS.NS's PEG of 2.96 indicates potential overvaluation.
Price to Book
The market values Laurus Labs Limited at 12.09 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 32.99 times EBITDA. This signals the market has high growth expectations.
How Well Does LAURUSLABS.NS Make Money?
Net Profit Margin
For every $100 in sales, Laurus Labs Limited keeps $12.55 as profit after all expenses.
Operating Margin
Core operations generate 28.81 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $18.71 in profit for every $100 of shareholder equity.
ROA
Laurus Labs Limited generates $8.96 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Laurus Labs Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Laurus Labs 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
LAURUSLABS.NS converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
68.90
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.96
vs 25 benchmark
P/B Ratio
Price to book value ratio
12.09
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.64
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.46
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.32
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.19
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.31
vs 25 benchmark
How LAURUSLABS.NS Stacks Against Its Sector Peers
| Metric | LAURUSLABS.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 68.90 | 29.45 | Worse (Expensive) |
| ROE | 18.71% | 779.00% | Weak |
| Net Margin | 12.55% | -24936.00% (disorted) | Strong |
| Debt/Equity | 0.46 | 0.26 | Weak (High Leverage) |
| Current Ratio | 1.32 | 4.65 | Neutral |
| ROA | 8.96% | -19344.00% (disorted) | Weak |
LAURUSLABS.NS outperforms its industry in 1 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Laurus Labs Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
93.87%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
38.75%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
71.19%
Industry Style: Defensive, Growth, Innovation
High Growth