š Alkem Laboratories Ltd. š
š About:
It is an Indian Multinational Pharmaceutical Company headquartered in Mumbai. Established in 1973, The Company has a foothold in over 50 countries. 33% of the revenue is generated from offshore sales. Manufacturing facilities are situated in 20 different locations in India and the United States of America.
š Financials:
ā§ In the recent quarterly result company posted a decline of 55.17% in net profit at Rs.107.58 Cr compared to Rs.239.99 Cr in the same period the previous year.
ā§ While the sales were up by 13.31% to Rs.2483.86 Cr in the 4 th quarter of 2022.
ā§ Out of the sales, Indian sales were up by 16.7% while the international sales were up by 7.3%
ā§ Exceptional item of debit Rs.150 million was an account of the fair value of an investment.
ā§ EBITDA margins were at 13.6% vs 13.3% in the same period the previous year.
ā§ Company has ROE and ROCE of 19.75% and 20.18% respectively considering 5-year period.
ā§ Debt to equity ratio stands at 0.18 while interest coverage is at 44.89.
ā§ Company has a strong promoter holding of 57.13%
ā§ Company has a good operating profit margin of nearly 20% in 5 years period.
ā§ Financials for the company are good with slightly higher valuations.
š Technicals:
ā§ Chart structure for the stock is weak as shown in the charts given.
ā§ There has been a continuous sell in the stock after every bounce.
ā§ Recent sell-off made the structure weaker giving a shorting opportunity for the short-term.
ā§ RSI stands at 37.87 showing the strength in the downtrend.
ā§ Stock is moving below its 50 DMA and 200 EMA levels.
ā§ Short position can be created with a Stop loss of Rs.3010 and a Target of Rs.2892
Disclaimer: The information mentioned above is only for educational purposes. Kindly contact your financial advisor before trading/investing š°
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