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NATCO Pharma Limited

NATCOPHARM.BOBSE
Healthcare
Drug Manufacturers - Specialty & Generic
971.40
26.95(2.85%)
Indian Market opens in 12h 39m

NATCO Pharma Limited Fundamental Analysis

NATCO Pharma Limited (NATCOPHARM.BO) shows strong financial fundamentals with a PE ratio of 11.25, profit margin of 34.13%, and ROE of 20.08%. The company generates $45.6B in annual revenue with strong year-over-year growth of 10.74%.

Key Strengths

ROE20.08%
Operating Margin39.89%
Cash Position23.26%
Current Ratio4.10

Areas of Concern

PEG Ratio9.38
We analyze NATCOPHARM.BO's fundamental strength across five key dimensions.

The stock receives a Fundamental Health Score of 75.4/100 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

B
75.4/100

We analyze NATCOPHARM.BO's fundamental strength across five key dimensions:

Efficiency Score

Excellent

NATCOPHARM.BO demonstrates superior asset utilization.

ROA > 10%
14.93%

Valuation Score

Moderate

NATCOPHARM.BO shows balanced valuation metrics.

PE < 25
11.25
PEG Ratio < 2
9.38

Growth Score

Excellent

NATCOPHARM.BO delivers strong and consistent growth momentum.

Revenue Growth > 5%
10.74%
EPS Growth > 10%
36.10%

Financial Health Score

Excellent

NATCOPHARM.BO maintains a strong and stable balance sheet.

Debt/Equity < 1
0.03
Current Ratio > 1
4.10

Profitability Score

Moderate

NATCOPHARM.BO maintains healthy but balanced margins.

ROE > 15%
20.08%
Net Margin ≥ 15%
34.13%
Positive Free Cash Flow
No

Key Financial Metrics

Is NATCOPHARM.BO Expensive or Cheap?

P/E Ratio

NATCOPHARM.BO trades at 11.25 times earnings. This suggests potential undervaluation.

11.25

PEG Ratio

When adjusting for growth, NATCOPHARM.BO's PEG of 9.38 indicates potential overvaluation.

9.38

Price to Book

The market values NATCO Pharma Limited at 2.03 times its book value. This may indicate undervaluation.

2.03

EV/EBITDA

Enterprise value stands at 8.56 times EBITDA. This is generally considered low.

8.56

How Well Does NATCOPHARM.BO Make Money?

Net Profit Margin

For every $100 in sales, NATCO Pharma Limited keeps $34.13 as profit after all expenses.

34.13%

Operating Margin

Core operations generate 39.89 in profit for every $100 in revenue, before interest and taxes.

39.89%

ROE

Management delivers $20.08 in profit for every $100 of shareholder equity.

20.08%

ROA

NATCO Pharma Limited generates $14.93 in profit for every $100 in assets, demonstrating efficient asset deployment.

14.93%

Following the Money - Real Cash Generation

Operating Cash Flow

NATCO Pharma Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.

$0.00

Free Cash Flow

NATCO Pharma Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.

$0.00

FCF Per Share

Each share generates $0.00 in free cash annually.

$0.00

FCF Yield

NATCOPHARM.BO converts 0.00% of its market value into free cash.

0.00%

Financial Ratios Analysis

Valuation Ratios

P/E Ratio

Price to earnings ratio

11.25

vs 25 benchmark

PEG Ratio

Price/earnings to growth ratio

9.38

vs 25 benchmark

P/B Ratio

Price to book value ratio

2.03

vs 25 benchmark

P/S Ratio

Price to sales ratio

3.84

vs 25 benchmark

Financial Health

Debt/Equity

Total debt to shareholders' equity

0.03

vs 25 benchmark

Current Ratio

Current assets to current liabilities

4.10

vs 25 benchmark

Efficiency Ratios

ROE

Return on equity percentage

0.20

vs 25 benchmark

ROA

Return on assets percentage

0.15

vs 25 benchmark

ROCE

Return on capital employed

0.21

vs 25 benchmark

How NATCOPHARM.BO Stacks Against Its Sector Peers

MetricNATCOPHARM.BO ValueSector AveragePerformance
P/E Ratio11.2529.45 Better (Cheaper)
ROE20.08%779.00% Weak
Net Margin34.13%-24936.00% (disorted) Strong
Debt/Equity0.030.26 Strong (Low Leverage)
Current Ratio4.104.65 Strong Liquidity
ROA14.93%-19344.00% (disorted) Strong

NATCOPHARM.BO 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 NATCO Pharma Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.

Revenue CAGR

135.70%

Industry Style: Defensive, Growth, Innovation

High Growth

EPS CAGR

316.71%

Industry Style: Defensive, Growth, Innovation

High Growth

FCF CAGR

314.12%

Industry Style: Defensive, Growth, Innovation

High Growth

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