AstraZeneca Pharma India Ltd stands as a formidable entity in the pharmaceutical landscape, dedicating itself to the manufacture, distribution, and marketing of pharmaceutical products. In an era marked by heightened global health consciousness and the perpetual quest for innovative medical solutions, the pharmaceutical industry emerges as a pivotal player in shaping societal well-being. With its indispensable role in healthcare, AstraZeneca Pharma India Ltd holds significance not only within the Indian subcontinent but also on a global scale, contributing to advancements in medical science and patient care worldwide.
Beyond mere numerical analyses, this article delves into the multifaceted narrative that underpins AstraZeneca Pharma India Ltd’s trajectory. It navigates through the intricate tapestry of market dynamics, the company’s unparalleled performance, and broader economic currents. Amidst this exploration, the question arises: can AstraZeneca Pharma India Ltd surpass the bold price target of ₹10,000?
About Astrazeneca
AstraZeneca Pharma India Ltd, a subsidiary of AstraZeneca plc headquartered in England, is deeply entrenched in the pharmaceutical domain, specializing in the manufacture, distribution, and marketing of pharmaceutical products. With AstraZeneca Pharmaceuticals AB holding a significant 75% share, the company benefits from its association with a multinational pharmaceutical and biotechnology giant. AstraZeneca Pharma India offers an extensive range of pharmaceutical medicines under renowned brands such as Brilinta, Forxiga, Crestor, and Tagrisso, catering to various medical areas including Cardiovascular, Renal, and Metabolic Diseases, Oncology, Respiratory, and Immunology.
Notably, the company has introduced innovative products, particularly in the Cardiovascular-Renal-Metabolics (CVRM) and oncology segments, gaining rapid acceptance among healthcare professionals. Geographically, the company’s revenue predominantly stems from India, with a small percentage from exports. AstraZeneca Pharma India is also at the forefront of healthcare innovation, collaborating with the India Sweden Healthcare Innovation Centre for pilot projects focusing on early disease diagnosis using AI-powered technologies. Additionally, the company has witnessed significant growth in its market position, particularly in the Therapeutic Area of Oncology, ranking third overall. Moreover, recent changes in key management personnel reflect the company’s commitment to leadership continuity and excellence.
Recent News Around Astrazeneca
- The Indian pharmaceutical market is poised for growth, with Indian companies projected to maintain an 82% market share.
- AstraZeneca India’s manufacturing facility has exhibited exceptional safety and quality standards, boasting zero lost time injuries and no critical observations in audits. The company’s strategic focus on launching new indications and products across various therapeutic areas further underscores its commitment to operational excellence and innovation.
- AstraZeneca Pharma India Ltd remains dedicated to corporate social responsibility initiatives, actively participating in cancer screening programs, establishing health information centers, and contributing to environmental conservation efforts.
Astrazeneca Q3 Fy2024 Key Points And Summary:
- Revenue Increase: AstraZeneca Pharma India witnessed a commendable increase in revenue by 22.41% year-on-year (YoY), indicating robust sales performance.
- Profit Decline: However, the company experienced a significant decline in profits, down by 46.08% YoY. This decrease in profitability may raise concerns among investors.
- Quarterly Performance: Compared to the previous quarter, both revenue and profit showed declines, with revenue dropping by 1.7% and profit decreasing by 69.83%.
- Expenses: Selling, general & administrative expenses saw an increase of 11.62% quarter-on-quarter (QoQ) and 9.08% YoY, impacting the company’s bottom line.
- Operating Income: The operating income witnessed a sharp decline, down by 82.67% QoQ and 65.02% YoY, reflecting challenges in operational efficiency.
- Earnings Per Share (EPS): The EPS for Q3 FY24 stands at ₹6.32, reflecting a decrease of 46.08% YoY, which may affect investor sentiment.
- Stock Performance: Despite the financial challenges, AstraZeneca Pharma India delivered positive returns in the last week, last 6 months, and year-to-date (YTD), indicating resilience in the market.
- Market Capitalization: The company currently holds a market capitalization of ₹16,424.88 crore, with a 52-week high/low of ₹7,220.95 and ₹3,098 respectively, suggesting volatility in stock performance.
Astrazeneca Share Price Target 2024 To 2030
Astrazeneca Share Price Target 2024
| Month | Maximum Price (₹) | Minimum Price (₹) |
|---|---|---|
| May | ₹6,053.78 | ₹5,264.15 |
| June | ₹6,271.71 | ₹5,453.66 |
| July | ₹6,208.99 | ₹5,399.13 |
| August | ₹6,457.35 | ₹5,615.09 |
| September | ₹6,715.65 | ₹5,839.69 |
| October | ₹6,583.97 | ₹5,725.19 |
| November | ₹6,781.49 | ₹5,896.95 |
| December | ₹6,951.02 | ₹6,044.37 |
In 2024, AstraZeneca’s share price is anticipated to exhibit a gradual upward trend, with the expected price reaching higher levels. In May, the expected price will range between ₹5,264.15 and ₹6,053.78, showcasing potential for growth. As the months progress, the expected price will only rise further. By December, it’s projected to reach between ₹6,044.37 and ₹6,951.02, indicating a promising outlook for investors. This anticipated trajectory suggests that AstraZeneca’s stock could experience significant appreciation throughout the year, providing opportunities for favorable returns.
Astrazeneca Share Price Target 2025
| when | Maximum Price | Minimum Price |
| January 2025 | ₹7,090.05 | ₹5,453.88 |
| February 2025 | ₹7,271.84 | ₹5,593.72 |
| March 2025 | ₹7,555.44 | ₹5,811.88 |
| April 2025 | ₹7,407.30 | ₹5,697.92 |
| May 2025 | ₹7,191.55 | ₹5,531.96 |
| June 2025 | ₹7,515.17 | ₹5,780.90 |
| July 2025 | ₹7,367.81 | ₹5,667.55 |
| August 2025 | ₹7,595.68 | ₹5,842.83 |
| September 2025 | ₹7,861.53 | ₹6,047.33 |
| October 2025 | ₹8,065.93 | ₹6,204.56 |
| November 2025 | ₹8,267.58 | ₹6,359.68 |
| December 2025 | ₹8,474.27 | ₹6,518.67 |
In 2025, AstraZeneca’s share price is expected to demonstrate a consistent upward trajectory, with the anticipated price reaching higher levels throughout the year. In January 2025, the expected price will range between ₹5,453.88 and ₹7,090.05, indicating potential for substantial growth. As the months progress, the expected price will continue to rise steadily. By December 2025, it’s projected to reach between ₹6,518.67 and ₹8,474.27, highlighting a strong outlook for investors. This anticipated trend suggests that AstraZeneca’s stock could experience significant appreciation, offering promising opportunities for favora
Astrazeneca Share Price Target 2026 To 2030
| Year | Maximum Price (₹) | Minimum Price (₹) |
|---|---|---|
| 2026 | ₹8,897.99 | ₹6,228.59 |
| 2027 | ₹9,787.78 | ₹6,851.45 |
| 2028 | ₹13,702.90 | ₹6,851.45 |
| 2029 | ₹11,863.98 | ₹5,931.99 |
| 2030 | ₹15,423.17 | ₹10,796.22 |
From 2026 to 2030, AstraZeneca’s share price is expected to demonstrate a notable growth trajectory, with the anticipated price reaching higher levels each year. In 2026, the expected price will range between ₹6,228.59 and ₹8,897.99, showcasing potential for substantial appreciation. As the years progress, the expected price will only increase further. By 2030, it’s projected to reach between ₹10,796.22 and ₹15,423.17, indicating a robust outlook for investors. This anticipated trend suggests that AstraZeneca’s stock could experience significant appreciation, offering promising opportunities for favorable returns throughout the coming years.
Astrazeneca’s Financial Condition (Last 5 Years)
| Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | TTM | |
| Sales + | 728 | 832 | 814 | 806 | 1,003 | 1,197 |
| Expenses + | 657 | 711 | 678 | 719 | 838 | 1,002 |
| Operating Profit | 71 | 121 | 135 | 86 | 165 | 195 |
| OPM % | 10% | 15% | 17% | 11% | 16% | 16% |
| Other Income + | 16 | 13 | 13 | 15 | -14 | 10 |
| Interest | 0 | 1 | 1 | 1 | 1 | 1 |
| Depreciation | 15 | 19 | 20 | 17 | 16 | 15 |
| Profit before tax | 73 | 114 | 127 | 83 | 134 | 188 |
| Tax % | 25% | 37% | 27% | 26% | 26% | |
| Net Profit + | 54 | 72 | 93 | 62 | 99 | 139 |
| EPS in Rs | 21.78 | 28.88 | 37.32 | 24.64 | 39.72 | 55.72 |
| Dividend Payout % | 0% | 3% | 5% | 41% | 40% |
Over the past five years, AstraZeneca has showcased a mixed financial performance, albeit with an overall positive trend in sales and profitability. Sales have steadily increased from ₹728 crore in March 2019 to ₹1,197 crore in the trailing twelve months (TTM) ending in March 2023, reflecting a robust growth trajectory. However, expenses have also risen, particularly evident in the TTM where they reached ₹1,002 crore, potentially impacting profit margins.
Operating profit has fluctuated over the years, peaking at ₹195 crore in the TTM, indicating varying levels of operational efficiency. Despite fluctuations, the operating profit margin has generally remained healthy, hovering around 16% in recent years. Other income, which contributes to overall profitability, has shown inconsistency, notably turning negative in March 2023, possibly affecting the bottom line.
Net profit has experienced fluctuations, with a noticeable dip in March 2022, before rebounding to ₹139 crore in the TTM. Earnings per share (EPS) have followed a similar trend, reflecting the company’s profitability per share. The dividend payout percentage has been volatile, with a significant jump from 5% in March 2021 to 41% in March 2022, suggesting a change in dividend distribution policies.
Despite some fluctuations, AstraZeneca’s financial performance indicates resilience and growth potential, supported by increasing sales and a generally healthy operating profit margin. However, the company may need to address expense management and ensure consistent other income to sustain and improve profitability in the future.
FAQS
- What is the closing price of Astrazeneca Pharma India Ltd’s stock on April 29?
- The closing price of Astrazeneca Pharma India Ltd’s stock on April 29 was ₹5,555.
- What is the market capitalization of Astrazeneca Pharma India Ltd?
- Astrazeneca Pharma India Ltd’s market capitalization is ₹13,914 crore.
- What is the high and low price range of Astrazeneca Pharma India Ltd’s stock?
- The high and low price range of Astrazeneca Pharma India Ltd’s stock is ₹7,221 and ₹3,125 respectively.
- What is the price-to-earnings (P/E) ratio of Astrazeneca Pharma India Ltd’s stock?
- The price-to-earnings (P/E) ratio of Astrazeneca Pharma India Ltd’s stock is 87.2.
- What is the book value of Astrazeneca Pharma India Ltd’s stock?
- The book value of Astrazeneca Pharma India Ltd’s stock is ₹262.
- What is the dividend yield of Astrazeneca Pharma India Ltd’s stock?
- The dividend yield of Astrazeneca Pharma India Ltd’s stock is 0.29%.
- What is the Return on Capital Employed (ROCE) of Astrazeneca Pharma India Ltd?
- The Return on Capital Employed (ROCE) of Astrazeneca Pharma India Ltd is 30.9%.
Should one invest in Astrazeneca?
AstraZeneca Pharma India Ltd, a subsidiary of AstraZeneca plc, operates in the pharmaceutical sector, manufacturing, distributing, and marketing pharmaceutical products. With a market capitalization of ₹13,914 crore and a current stock price of ₹5,555, it holds a significant position in the industry.
The company’s financial performance has seen notable fluctuations over the past few years. While it has maintained a healthy dividend payout of 28.7%, its stock is trading at a relatively high 21.2 times its book value. A significant positive is its reduced debt, making it nearly debt-free, which enhances its financial stability and flexibility.
Despite delivering a strong profit growth of 37.3% CAGR over the last five years, AstraZeneca has witnessed poor sales growth of 11.9% during the same period. This disparity indicates potential areas for improvement in its sales strategy and market penetration.
In terms of operational metrics, the company has showcased impressive returns on capital employed (ROCE) and return on equity (ROE), standing at 30.9% and 23.0%, respectively. These figures signify efficient utilization of resources and shareholder value creation.
Comparing AstraZeneca with its peers in the pharmaceutical sector, it holds its ground with a relatively high stock price and healthy financial ratios. However, investors should consider the company’s historical financial performance, market dynamics, and future growth prospects before making investment decisions.
Overall, while AstraZeneca exhibits strengths such as reduced debt, robust profitability, and strong returns on capital, its comparatively low sales growth and high stock valuation warrant careful consideration before investing. Conducting thorough research and seeking professional advice can help investors make informed decisions aligned with their financial goals and risk tolerance.
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