This pharma stock is trending today!

Shares of the company surged 14%.

On November 22, the market is trading in the green. At noon, the S&P BSE Sensex is trading flat at 61,334.03, up 0.3%, while NIFTY50 is trading flat at 18,216.05, up 0.3%. About sectoral performance, Commodities are outperforming, while Realty is among the top losers. Regarding stock-specific action, Kopran Ltd is the top gainer among BSE group ‘B’. 

Shares of Kopran Ltd have surged 14% and are trading at Rs 154.8, as of noon. Yesterday, on November 21, the stock hit a fresh 52-week low of Rs 131.3. Today, the stock has recovered well. However, in the last 6 months, the stock was in a strong downtrend, falling more than 30%.

Kopran is an integrated pharmaceutical company, manufacturing international quality formulations and Active Pharmaceutical Ingredients (API). It is a major player in the manufacturing of Sterlite Cephalosporins. They also provide a range of speciality products including macrolides, anticonvulsants and a cardiovascular range of drugs among others.

Last week, on November 15, the company announced its September quarterly results. For the recent quarter Q2FY23, on a consolidated basis, the total revenue decreased 8.31% YoY to Rs 117 crore. The EBITDA fell sharply by 57.77% YoY and was reported at Rs 10.14 crore.

The company’s net profit also took a hit and registered a drop of 73% to come in at Rs 4.65 crore, as against Rs 17 crore in Q2FY22.

As per the FY22 period ending, the company has an ROE and ROCE of 18.2% and 21.4%, respectively.

About the shareholding pattern, 44.25% of the company’s stake is owned by the promoters, 0.51% by FIIs, 0.14% by DIIs, and the rest 55.09% by non-institutional investors.

The company has a market capitalisation of Rs 734 crore and is currently trading at a PE multiple of 14.7x. The stock has a 52-week high and low of Rs 369.35 and Rs 131.3, respectively.