FDC (FDC)
Slow GrowerFairStock Score: 30/100 — RISKY
Score breakdown: P/E: 1/3 · ROCE: 1/2 · Growth: 2/2 · Dividend: 0/1
Key Financials
| Current Price | ₹354.2 |
| Market Cap | ₹5,766.73 Cr |
| P/E Ratio | 19.69 |
| ROCE | 15.9% |
| ROE | 9.93% |
| Dividend Yield | 2.82% |
| Profit Growth | 9.3% |
| Debt/Equity | 0.01 |
| Sales Growth | 3% |
| Promoter Holding | 69.66% |
| 52-Week Range | ₹312.95 — ₹527.8 |
| Sector | Pharmaceuticals & Biotechnology |
| Book Value | ₹152.62 |
Strengths
- Pristine balance sheet with debt/equity of just 0.01
- High promoter holding of 69.66% aligns management with minority shareholders
- Respectable ROCE of 15.90%
- Healthy Piotroski F-Score of 7/9
- Profit growth of 17.90% and a dividend yield of 1.40%
Concerns
- Sales growth is almost flat at 0.13%, so the top line lacks momentum
- ROE of 9.93% is weak for a stock trading at 2.61 times book value
- P/E of 25.02 and PEG of 1.86 leave little margin of safety
- FairStock Score of 32/100 flags risk; latest quarter net profit of ₹28 Cr on ₹465 Cr sales shows thin margins
AI Analysis
FDC is exactly the kind of company where I want to keep my excitement in check. The balance sheet is genuinely strong—debt/equity of 0.01 and promoter holding of 69.66% give me comfort that shareholders and management are on the same side. ROCE at 15.90% is acceptable, and a Piotroski score of 7 out of 9 indicates decent recent financial health. But Ben Graham taught me that price is what you pay and value is what you get. At ₹372.30, the market is asking for ₹5,807 Cr, or 25.02 times earnings. For a pharmaceutical business whose sales grew just 0.13%, that is a rich multiple. The latest quarter shows ₹465 Cr of sales and only ₹28 Cr of profit—the net margin is thin. Full-year profit growth of 17.9% is pleasant, but with flat revenue, it looks more like margin or cost action than durable demand. ROE of 9.93% is mediocre, and paying 2.61 times book for that return is not a Graham bargain. The dividend yield of 1.40% offers modest compensation, but PEG of 1.86 confirms I am not getting growth cheaply. The stock has fallen from ₹527.80 to ₹372.30, yet the FairStock score of 32/100 reminds me that a falling price is not automatically a margin of safety. I would need to see the top line move meaningfully, or the price fall closer to intrinsic support, before acting. As it stands, this looks like a slow-growing business with a clean balance sheet but a valuation that expects more than it has delivered.
Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer