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Zydus wellness

Discussion in 'Fundamental Analysis' started by laveshdixit, Jan 5, 2022.

  1. laveshdixit

    laveshdixit Responder

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    Hi,

    Any views on Zydus Wellness nness currently. The stock has gone down around 25% from 2500 to 1900. Any specific reasons for the same or normal correction.

    Regards
    Lavesh
     
    laveshdixit, Jan 5, 2022
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  2. shabbir

    shabbir Administrator Staff Member

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    I see it as normal correction. When a company does a large acquisition, there is a 3 years of cool off period when earnings and other things integrate and gets streamline. This is what is happening with Zydus.

    I would like to see the ROCE back above 20% in the coming years than worry too much on the price movement.
     
    shabbir, Jan 7, 2022
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  3. laveshdixit

    laveshdixit Responder

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    Where can we see historic ROCE for stocks, screener? Is it a paid subscription requirement
    Any other place?
     
    laveshdixit, Jan 7, 2022
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  4. shabbir

    shabbir Administrator Staff Member

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    shabbir, Jan 7, 2022
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  5. emailsaravanans

    emailsaravanans Active Member

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    Since 2019 its ROCE is under 10 including the last quarter. Is it a concern?
     
    emailsaravanans, Jan 24, 2022
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  6. shabbir

    shabbir Administrator Staff Member

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    Yes it is a concern but I would like to give it the time needed to absorb the acquisition it did which was size of its own market cap.

    The time needed to absorb such a large acquisition is 3 to 5 years.
     
    shabbir, Jan 25, 2022
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  7. emailsaravanans

    emailsaravanans Active Member

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    Till then is it a good time to accumulate?
     
    emailsaravanans, Jan 25, 2022
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  8. shabbir

    shabbir Administrator Staff Member

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    I think so.
     
    shabbir, Jan 25, 2022
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  9. laveshdixit

    laveshdixit Responder

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    Further fall in Zydus with big volumes. Now below 1550.
    What calls for this fall. From 2500 to 1550, around 40% fall now.
     

    Attached Files:

    laveshdixit, Feb 10, 2022
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  10. shabbir

    shabbir Administrator Staff Member

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    Weak Results. Or rather results not as expected by the market
     
    shabbir, Feb 11, 2022
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  11. laveshdixit

    laveshdixit Responder

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    It should just be much more than the last quater results. Coz for last few years, if you see Dec quarter is a slow growth quarter. Also Dec 21 results (yoy) is not bad.

    It has been consistently falling and market is thinking that the growth in businessn is slow and would continue to be.

    Will got through concall to understand if the company is projecting low growth as well.
     
    laveshdixit, Feb 12, 2022
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  12. shabbir

    shabbir Administrator Staff Member

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    I didn't mean weak quarterly results but weak results overall after the integration with Heinz India
     
    shabbir, Feb 14, 2022
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