Aurobindo Pharma is a distinguished name in the pharmaceutical industry. It was incorporated in 1986, and its headquarters is located in Hyderabad. As of 31 December 2021, it reported a net income of Rs 604.73 crore. The prominent faces in Aurobindo Pharma management are—Mr K Raghunathan, Mr K Nityananda Reddy, Dr M. Sivakumaran, Mr P. V Ram Prasad Reddy, and a few more. Aurobindo Pharma’s valuation on the stock exchange is Rs 30,636 crore.
The company is listed on both the stock exchanges of India, that is NSE and BSE. It is traded under the symbol AURO PHARMA.
The company is primarily into the development, manufacturing, and supply of active pharmaceutical ingredients, generic pharmaceuticals, and branded speciality pharmaceuticals. Some key offerings in its product portfolio cater to/include antibiotics, central nervous system, anti-diabetics, gastroenterological, anti-retroviral, and cardiovascular. The company currently supplies its products to more than 150 countries. Its subsidiary company list includes Aurolife Pharma LLC, APL Healthcare, Auro Peptides Ltd, Auronext Pharma Pvt. Ltd. and a few more.
Now, if you dive into the company’s financials, you will find the following.
Aurobindo Pharma’s price-to-equity ratio or PE ratio (6.13) and price-to-book ratio or PB ratio (1.49) are better than the industry’s average. The same is the case with revenue and net income. Over the past five years, Aurobindo Pharma’s revenue and income have grown at an annual rate of 15.2% and 21.38%, respectively. For the same period, the industry’s average income and revenue growth rates were 6.94% and 8.25%, respectively. Aurobindo Pharma’s total liabilities declined by Rs 467.41 crore compared to the financial year 2020. Even after reducing the liabilities, the company cash flow statement shows a free cash flow of Rs 1455.11 crore in FY20-21.
On 20 May 2022, the Aurobindo Pharma share price on NSE closed at Rs 557.95. It was 6.71% higher than the previous day’s closing price. The last 52 weeks’ movement of Aurobindo Pharma Ltd.’s share price on the stock market saw a high of Rs 1,043.10 and a low of Rs 520.85. Investing in Aurobindo Pharma shares carries a low amount of risk since its price volatility is 1.95x that of the Nifty. The key names in its peers’ list are Cipla Ltd., Torrent Pharmaceuticals Ltd., Sun Pharmaceuticals Industries Ltd., and Dr Reddy’s Laboratories Ltd.
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