Are investors changing their sentiment towards Kopran stock?

After hitting a fresh 52-week low, this pharma stock surged 18 per cent.

On November 22, Kopran Ltd was the top gainer among BSE group ‘B’. Shares of Kopran Ltd have surged 18 per cent and closed at Rs 160. 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 around 30 per cent.  

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 per cent YoY to Rs 117 crore. The EBITDA fell sharply by 57.77 per cent YoY and was reported at Rs 10.14 crore.  

The company’s net profit also took a hit and registered a drop of 73 per cent 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 per cent and 21.4 per cent, respectively.  

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

The company has a market capitalisation of Rs 771 crore and is currently trading at a PE multiple of 44.58x. The stock has a 52-week high and low of Rs 369.35 and Rs 131.3, respectively.