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Cipla Ltd P/E Ratio

Cipla Ltd P/E Ratio

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Cipla Ltd

NSE: CIPLA

PE

25.4

Last updated : 17 May 15:30 pm

Key Highlights

    The P/E Ratio of Cipla Ltd is 25.4 as of 17 May 15:30 pm .a1#The P/E Ratio of Cipla Ltd changed from 27.9 on March 2019 to 26 on March 2023 . This represents a CAGR of -1.40% over 5 years. a1#The Latest Trading Price of Cipla Ltd is ₹ 1398 as of 17 May 15:30 .a1#The PE Ratio of Pharmaceuticals Industry has changed from 28.7 to 27.7 in 5 years. This represents a CAGR of -0.71%a1# The PE Ratio of Automobile industry is 27.2. The PE Ratio of Finance industry is 13.6. The PE Ratio of IT - Software industry is 27.9. The PE Ratio of Pharmaceuticals industry is 27.7. The PE Ratio of Retail industry is 94.8. The PE Ratio of Textiles industry is 21.1. In 2023a1#The Market Cap of Cipla Ltd changed from ₹ 42645 crore on March 2019 to ₹ 72696 crore on March 2023 . This represents a CAGR of 11.26% over 5 years. a1#The Revenue of Cipla Ltd changed from ₹ 5478 crore to ₹ 6412 crore over 8 quarters. This represents a CAGR of 8.19% a1#The EBITDA of Cipla Ltd changed from ₹ 1246 crore to ₹ 1565 crore over 8 quarters. This represents a CAGR of 12.04% a1#The Net Profit of Cipla Ltd changed from ₹ 706.56 crore to ₹ 934.4 crore over 8 quarters. This represents a CAGR of 15.00% a1#The Dividend Payout of Cipla Ltd changed from 12.8 % on March 2019 to 27.3 % on March 2023 . This represents a CAGR of 16.36% over 5 years. a1#

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P/E Ratio Over Time

The price-to-earnings ratio (P/E ratio) is a valuation measure calculated by dividing a company's current share price by its earnings per share. P/E Ratio Formula P/E ratio = (CMP of share/ Earning per share) Types of Price to Earning Ratio 1. Forward P/E ratio: It is calculated by simply dividing the price of a single unit of a company along with the estimated earnings of a company derived from its future earning guidance. 2. Trailing P/E ratio: It is the most common metric used by investors where past earnings of a company over a period are considered.

P/E Ratio Over Time

Period
Mar '1927.9
Mar '2022
Mar '2127.3
Mar '2232.7
Mar '2326

Fundamental Metrics

Market Cap

114,654 Cr

EPS

52.7

P/E Ratio (TTM) *

25.4

P/B Ratio (TTM) *

4.1

Day’s High

1422.85

Day’s Low

1396.45

DTE *

0.0

ROE *

15.4

52 Week High

1519.0

52 Week Low

911.8

ROCE *

21.1

* All values are consolidated

* All values are consolidated

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Cipla Ltd

NSE: CIPLA

PRICE

1398.5

-21.55(-1.52%)

stock direction

Last updated : 17 May 15:30

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PRICE

The current market price or CMP refers to the price at which the securities are trading in the share market. Current price in Over-the-counter costs: The following current price depends upon the bid price & the asking price when a financial asset is sold over-the-counter(OTC). Current Price in Bond Market: The current price of a bond is determined by measuring the actual interest rate against the bid-related interest rate. The par or the face value is then calculated to represent the remaining interest payments due which occur before the maturity of the bond.

Share price Over Time

1M

1Y

3Y

5Y

* All values are in Rupees

SWOT Analysis Of Cipla Ltd

Strength

1

S

Weakness

1

W

Opportunity

0

O

Threats

1

T

BlinkX Score for Cipla Ltd

Revenue

Profitability

Affordability

Liquidity

Dividend

Asset Value vs Market Value

Market Value

1,08,147

Asset Value

15,470

6.0 X

Value addition

* All values are in Rupees

PE Ratio Over Market Cap

Key Valuation Metric

Earnings

4,121 Cr

25.4 X

PE Ratio

Market Cap

₹108146Cr

PE Ratio

PS Ratio

PB Ratio

The price-to-earnings ratio (P/E ratio) is a valuation measure calculated by dividing a company's current share price by its earnings per share.


P/E Ratio Formula


P/E ratio = (CMP of share/ Earning per share)


Types of Price to Earning Ratio


1. Forward P/E ratio: It is calculated by simply dividing the price of a single unit of a company along with the estimated earnings of a company derived from its future earning guidance.
2. Trailing P/E ratio: It is the most common metric used by investors where past earnings of a company over a period are considered.

PE Ratio

PS Ratio

PB Ratio

Earnings

4,121 Cr

25.4 X

PE Ratio

Market Cap

₹108146Cr

PE Ratio

PS Ratio

PB Ratio

The price-to-earnings ratio (P/E ratio) is a valuation measure calculated by dividing a company's current share price by its earnings per share.


P/E Ratio Formula


P/E ratio = (CMP of share/ Earning per share)


Types of Price to Earning Ratio


1. Forward P/E ratio: It is calculated by simply dividing the price of a single unit of a company along with the estimated earnings of a company derived from its future earning guidance.
2. Trailing P/E ratio: It is the most common metric used by investors where past earnings of a company over a period are considered.

PE Ratio of Pharmaceuticals Industry over time

PE Ratio of Top Sectors

Cipla Ltd PE Ratio Calculation

  • The Price-to-Earnings (PE) ratio, also known as the P/E Ratio, is a fundamental financial metric used to assess the valuation of a company's stock in relation to its earnings performance. For Cipla Ltd, the PE Ratio is calculated as follows:

P/E Ratio

=

Market Capitalization

Net Income

  • Given the current market conditions, Cipla Ltd's Share Price stands at 1398.5. The Earnings per Share (Diluted) for the trailing twelve months (TTM) ending in 2024-05-17T15:30:00 is 52.74. Substituting the values into the formula, PE Ratio becomes as follows: PE Ratio = 1398.5/ 52.74= 25.4.

P/E Ratio

=

Stock Price

Earning Per Share

  • This indicates that Cipla Ltd's stock is trading at approximately 25.4 times its earnings per share for the trailing twelve months. Alternatively, the PE Ratio can also be computed using the company's overall financial performance: PE Ratio = Market Cap / Net Income. Where Market Cap represents the total market capitalization of the company, and Net Income signifies the total earnings after expenses and taxes.

Understanding Cipla Ltd’s PE Ratio (BSE: CIPLA)

    The Price-to-Earnings (PE) ratio, used to assess Cipla Ltd's stock (BSE: CIPLA), indicates how many years it would take for the company to earn back the stock price. If a company earns ₹2 per share annually and its stock trades at ₹30, the PE ratio is 15, signifying a 15-year payback period assuming steady earnings. Earnings fluctuate, affecting the payback period, Growing earnings shorten the recovery time while declining earnings extend it. Shareholders favor shorter payback periods, preferring lower PE stocks. Among stocks with the same PE ratio, faster-growing businesses are preferred. A company with losses makes the PE ratio meaningless. Peter Lynch introduced the PEG ratio to compare stocks with different growth rates, dividing the PE ratio by the growth rate. A company is considered fairly valued when its PE ratio matches its growth rate. The PE ratio, applicable across industries, measures stock valuation based on earnings power. It indicates how quickly an investment can be recouped. Unlike the PB ratio, which assesses valuation based on the balance sheet, the PE ratio focuses on earnings. Overall, the PE ratio provides insights into stock valuation, aligning with investors' preference for faster returns.

×

Market Cap Over Time

Market Cap or market capitalisation refers to metrics that are used to measure a company's size. It is defined as the total market value of a company's outstanding shares of stock. Formula of Market Cap: Market Capital = N * P Here, N for the outstanding shares P refers to the closing price of the company's shares. Types of Companies based on Market Cap: - Small-Cap stocks: Up to 500 Crore - Mid-Cap Stocks: From Rs.500 crore up to Rs.7,000 crore - Large-Cap Stocks: From Rs.7,000 crore up to Rs.20,000 crore

Market Cap Over Time

Period
Mar '1942646
Mar '2034104
Mar '2165747
Mar '2282174
Mar '2372696

* All values are a in crore

×

Revenue Over Time

Revenue term means the amount of money a company earns from its primary business activities such as the sales of its products & services. Types of Revenue: 1. Operating revenue: It refers to the income generated from the core business activities, which are sales of goods or services rendered. 2. Non-Operating revenue: It is the income generated from secondary sources unrelated to the primary business. Examples include rents, dividends, interest, and royalty fees. Formula for Revenue: The formula for calculating revenue is based on two goods & services: For goods: Revenue = Avg unit price x Number of Units sold For services: Revenue = Avg unit price x Number of Customers served.

Revenue Over Time

Period
Jun '225479
Sep '225951
Dec '225925
Mar '225874
Jun '236465
Sep '236854
Dec '236788
Mar '236413

* All values are a in crore

×

EBITDA Over Time

PBIDT stands for Profit Before Interest, Depreciation, and Taxes. It is a financial metric that measures a company's profitability before accounting for interest expenses, depreciation of assets, and taxes. Formula to calculate PBIDT: PBIDT = Net Income + Interest + Depreciation + Taxes or PBIDT = Operating Income + Depreciation + Taxes PBIDT vs EBITDA vs EBIT vs EBT: Here is a brief explanation of the differences: - PBIDT (Profit Before Interest, Depreciation, and Taxes) includes taxes in its calculation, unlike EBITDA. - EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) excludes taxes and interest, focusing on operational performance. - EBIT (Earnings Before Interest and Taxes) excludes interest and taxes, providing a measure of core operational profitability. - EBT (Earnings Before Taxes) includes all operating income but does not account for interest expenses. Conclusion: PBIDT, similar to EBITDA, is a measure of operational profitability but includes taxes in its calculation.

EBITDA Over Time

Period
Jun '221247
Sep '221425
Dec '221522
Mar '221126
Jun '231630
Sep '231910
Dec '231737
Mar '231565

* All values are a in crore

×

Net Profit Over Time

Net profit is the amount of money a company retains after accounting for all expenses, depreciation, interest, taxes, and other deductions. Net Profit formula is expressed as: Net Profit = Total Revenue - Total Expense Net Profit Margin Ratio: Net Profit Margin Ratio = Net Profit / Total Revenue

Net Profit Over Time

Period
Jun '22707
Sep '22798
Dec '22808
Mar '22523
Jun '23997
Sep '231156
Dec '231069
Mar '23934

* All values are a in crore

×

Dividend Payout Over Time

Dividend payout refers to the total dividends paid to shareholders relative to the company's earnings. It is a financial measure that determines the percentage of earnings paid out to existing shareholders as dividends. How to calculate Dividend Payout Ratio? The dividend payout ratio formula is as follows: DPR = Dividends paid / Net earnings With the dividend payout ratio, you can understand the company's priorities. It is an important metric that allows you to easily check DPR online.

Dividend Payout Over Time

Period
Mar '1913
Mar '2014
Mar '2116
Mar '2214
Mar '2327

* All values are a in %

About Cipla Ltd

About Cipla Ltd

    The Company is in the business of manufacturing, developing, and marketing wide range of branded and generic formulations and Active Pharmaceutical Ingredients (APIs). From its first manufacturing unit at Bombay Central in 1936, Cipla now has over 40 state-of-the art manufacturing facilities across the globe including India, USA, China and South Africa. In the year 1960, they started operations at second plant at Vikhroli, Mumbai, producing fine chemicals with special emphasis on natural products. The undertaking has a manufacturing facility, approved by US FDA and WHO, for APIs and intermediates. Cipla Medpro South Africa is a leading provider of chronic medicines to the public and private sectors. On 7 July 2014, Cipla announced its intention to make investments of up to 100 million in its UK subsidiary over the next few years. In its bid to enter the markets of Czech Republic and Slovaki, Cipla on 8 September 2014 announced commercial collaboration with UK-based S&D Pharma. On 13 February 2015, Cipla announced that it has been awarded USD 188.95 million of Global Fund ARV Tender for anti-retrovirals drugs. Croatia, Al Jabal For Drugs And Medical Appliances Company Ltd, Yemen, Cipla Agrimed Proprietary Ltd and Cipla Vet Proprietary Ltd., in South Africa. In South Africa, Mirren (Pty) Limited was acquired as a part of strategy to strengthen its OTC portfolio. During the FY2021, the Group has divested its stake in two of its subsidiaries namely Quality Chemical Limited (Group share - 51.18%) and Anmarate Proprietary Limited (wholly owned subsidiary). Cipla Digital Health Limited was incorporated as a wholly owned subsidiary of the Company on 25th February, 2022. It launched ceftazidime-avibactam intravenous formulation (CipCZA) in India, a new treatment to treat bacterial infections. In year 2022-23, the Company acquired 21.05% stake in Achira Labs Private Limited effective on 17th August, 2022.

Cipla Ltd News Hub

News

Cipla allots 50,768 equity shares under ESOS

Cipla has allotted 50,768 fully paid-up equity shares of Rs 2 each, pursuant to exercise o...

Read more

17 May 2024 12:12

News

Cipla to invest further Rs 26 cr in Achira Labs

Cipla has entered into definitive agreements on 15 May 2024 for further investment of upto...

Read more

15 May 2024 18:32

News

Cipla rises Q4 PAT climbs 79% YoY to Rs 939 cr; declares dividend of Rs 13/share

Profit before tax increased 68.94% YoY to Rs 1259.26 crore in Q3 FY24. Duirng the quarter,...

Read more

10 May 2024 15:10

News

Cipla schedules AGM

Cipla announced that the Annual General Meeting(AGM) of the company will be held on 20 Aug...

Read more

10 May 2024 16:30

News

Board of Cipla recommends final dividend

Cipla announced that the Board of Directors of the Company at its meeting held on 10 May 2...

Read more

10 May 2024 16:30

News

Cipla's unit at KurKumbh completes USFDA inspection

Cipla announced that a routine current Good Manufacturing Practices (cGMP) inspection was ...

Read more

08 May 2024 15:07

Product Composition by Percentage (Revenue)

FAQs for PE of Cipla Ltd

What is Cipla Ltd current share price?

The current market price of Cipla Ltd as of May 17, 2024 is ₹1398.50.

Is Cipla Ltd a good investment?

As per BlinkX Score Cipla Ltd scores 44 in Revenue, 51 in Profitability. However it's advisable to conduct comprehensive research or seek advice from experts to evaluate whether it aligns with your investment objectives.

What are Cipla Ltd's total net assets?

According to Cipla Ltd's most recent financial filings, the company's net assets total ₹15469.6 Cr.

Is Cipla Ltd making a profit or loss?

Cipla Ltd's net Profit as of May 17, 2024 is close to ₹4,121 Cr.
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