Wockhardt (WOCKPHARMA)

FairStock Score: 26/100 — RISKY

Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at Wockhardt through a Graham lens first: the stock trades at ₹1,932.70 against a Graham Number of ₹66.33, so the margin of safety is -1,953.12%. That is not a margin; it is a warning. At a market cap of ₹31,405 Cr, P/E of 76.91, P/B of 6.35 and EV/EBITDA of 285.70, the market is already pricing in a remarkable recovery. Yet the business earns ROE of only 0.51% and ROCE of 3.75%, far below what I would demand from a quality compounder. Debt/Equity of 0.42 is manageable, and Altman Z-Score of 2.75 keeps it out of clear distress, but free cash flow is -₹802 Cr and there is no dividend. The latest quarter showed sales of ₹888 Cr and net profit of ₹61 Cr, while sales growth of 28.08% and profit growth of 55.07% look impressive. However, the five-year revenue CAGR is just 1.15%, so I suspect recent growth is a spurt, not a proven runway. Piotroski F-Score of 7/9 is a positive sign, and promoter holding of 49.09% means the owners have skin in the game. Still, PEG of 9.16 and FairStock Score of 26/100 scream speculation. As Buffett, I prefer a wonderful business at a fair price; this looks like an improving but low-return business at a very demanding price. I would wait for cash flow, ROE and ROCE to improve before paying up.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer