Lincoln Pharmaceuticals Limited
Lincoln Pharmaceuticals Limited Fundamental Analysis
Lincoln Pharmaceuticals Limited (LINCOLN.NS) shows moderate financial fundamentals with a PE ratio of 13.79, profit margin of 13.47%, and ROE of 13.02%. The company generates $6.5B in annual revenue with moderate year-over-year growth of 7.35%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 75.5/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze LINCOLN.NS's fundamental strength across five key dimensions:
Efficiency Score
ExcellentLINCOLN.NS demonstrates superior asset utilization.
Valuation Score
ExcellentLINCOLN.NS trades at attractive valuation levels.
Growth Score
ModerateLINCOLN.NS shows steady but slowing expansion.
Financial Health Score
ExcellentLINCOLN.NS maintains a strong and stable balance sheet.
Profitability Score
WeakLINCOLN.NS struggles to sustain strong margins.
Key Financial Metrics
Is LINCOLN.NS Expensive or Cheap?
P/E Ratio
LINCOLN.NS trades at 13.79 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LINCOLN.NS's PEG of 1.41 indicates fair valuation.
Price to Book
The market values Lincoln Pharmaceuticals Limited at 1.69 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.72 times EBITDA. This signals the market has high growth expectations.
How Well Does LINCOLN.NS Make Money?
Net Profit Margin
For every $100 in sales, Lincoln Pharmaceuticals Limited keeps $13.47 as profit after all expenses.
Operating Margin
Core operations generate 13.12 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.02 in profit for every $100 of shareholder equity.
ROA
Lincoln Pharmaceuticals Limited generates $10.28 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Lincoln Pharmaceuticals Limited generates limited operating cash flow of $497.63M, signaling weaker underlying cash strength.
Free Cash Flow
Lincoln Pharmaceuticals Limited produces free cash flow of $390.02M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $19.47 in free cash annually.
FCF Yield
LINCOLN.NS converts 3.22% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.79
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.41
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.69
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.86
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
4.71
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.13
vs 25 benchmark
ROA
Return on assets percentage
0.10
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How LINCOLN.NS Stacks Against Its Sector Peers
| Metric | LINCOLN.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.79 | 28.45 | Better (Cheaper) |
| ROE | 13.02% | 763.00% | Weak |
| Net Margin | 13.47% | -45265.00% (disorted) | Strong |
| Debt/Equity | 0.00 | 0.34 | Strong (Low Leverage) |
| Current Ratio | 4.71 | 2795.60 | Strong Liquidity |
| ROA | 10.28% | -16588.00% (disorted) | Strong |
LINCOLN.NS outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Lincoln Pharmaceuticals Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
65.13%
Industry Style: Defensive, Growth, Innovation
High GrowthEPS CAGR
59.84%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
23.15%
Industry Style: Defensive, Growth, Innovation
High Growth