Reasons for buying:
Buy PE was reasonable at 10.64 and below 10 years PE median of 14.83.
Earnings have increased 6 times since 2013.
Return on equity is ok at 16.16%.
The market cap of the company is ₹10,006.84cr.
The debt of the company is ₹2,583.97cr with ₹671.32cr in cash. The debt is higher than my other investments but I think it's cheap, have to wait and see if I can make money on it.
Buy date: 28-Sep-2021
Qty: 16 Buy Price: ₹607 Buy EPS: ₹57.03 Buy PE: 10.64
Sell date: 27-Oct-2022
Qty:16 Price: ₹349.65 EPS: ₹10.24 PE: 34.14
The price of the stock is up about 3.19% from my buy price.
I have sold it at a loss of -₹4,037.6 after holding it for 394 days, I should not have bought it in the first place since it did not satisfy any of my rules. The earnings have dropped 82% from ₹57.03 to ₹10.24 and it is good that I have not added to stock when EPS dropped.
It is an integrated global pharmaceutical company with three business segments: Pharmaceuticals, Contract Research & Development services, and proprietary novel drugs.
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