Dr. Reddy's Laboratories (RDY) Stock Price, News & Analysis

Company Overview

Dr. Reddy's Laboratories Limited, together with its subsidiaries, operates as an integrated pharmaceutical company worldwide. It operates through Global Generics, Pharmaceutical Services and Active Ingredients (PSAI), and Others segments. The company's Global Generics segment manufactures and markets prescription and over-the-counter finished pharmaceutical products that are marketed under a brand name or as a generic finished dosages with therapeutic equivalence to branded formulations, as well as engages in the biologics business. The PSAI segment manufactures and markets active pharmaceutical ingredients and intermediates, which are principal ingredients for finished pharmaceutical products. This segment also provides contract research services; and manufactures and sells active pharmaceutical ingredients and steroids in accordance with the specific customer requirements. The Others segment engages in developing therapies in the fields of oncology and inflammation; research and development of differentiated formulations; and provides digital healthcare and information technology enabled business support services. The company offers its products for various therapeutic categories primarily include gastro-intestinal, cardiovascular, anti-diabetic, dermatology, oncology, respiratory, stomatology, urology, and nephrology. Dr. Reddy's Laboratories Limited was incorporated in 1984 and is headquartered in Hyderabad, India.

Key Stats

• Today's Range: $14.24 to $14.40
• 50-Day Range: $14.10 to $16.07
• 52-Week Range: $12.90 to $16.89
• Volume: 754,394 shs
• Average Volume: 1.04 million shs
• Market Capitalization: $11.94 billion
• P/E Ratio: 22.84
• Dividend Yield: 0.56%
• Price Target: $17.00
• Consensus Rating: Hold

Dr. Reddy's Laboratories Stock Analysis - MarketRank™

Dr. Reddy's Laboratories scored higher than 26% of companies evaluated by MarketBeat, and ranked 840th out of 963 stocks in the medical sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.0 / 5
• Analyst Rating: Hold

Consensus Rating

Dr. Reddy's Laboratories has received a consensus rating of Hold. The company's average rating score is 2.00, and is based on 1 buy rating, no hold ratings, and 1 sell rating.

Amount of Analyst Coverage

Dr. Reddy's Laboratories has only been the subject of 1 research reports in the past 90 days.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 2.41%

Earnings Growth

Earnings for Dr. Reddy's Laboratories are expected to grow by 2.41% in the coming year, from $0.83 to $0.85 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Dr. Reddy's Laboratories is 22.84, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 131.16.

Price to Earnings Ratio vs. Sector

The P/E ratio of Dr. Reddy's Laboratories is 22.84, which means that it is trading at a less expensive P/E ratio than the Medical sector average P/E ratio of about 126.31.

Price to Book Value per Share Ratio

Dr. Reddy's Laboratories has a P/B Ratio of 3.54. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 1.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

1.28% of the outstanding shares of Dr. Reddy's Laboratories have been sold short.

Short Interest Ratio / Days to Cover

Dr. Reddy's Laboratories has a short interest ratio ("days to cover") of 13.9, which indicates bearish sentiment.

Change versus previous month

Short interest in Dr. Reddy's Laboratories has recently increased by 385.45%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 1.7 / 5
• Dividend Strength: Weak

Dividend Yield

Dr. Reddy's Laboratories has a dividend yield of 0.57%, which is in the bottom 25% of all stocks that pay dividends.

Dividend Growth

Dr. Reddy's Laboratories does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Dr. Reddy's Laboratories is 12.70%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Dr. Reddy's Laboratories will have a dividend payout ratio of 9.41% next year. This indicates that Dr. Reddy's Laboratories will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Percentage of Shares Shorted

1.28% of the outstanding shares of Dr. Reddy's Laboratories have been sold short.

Short Interest Ratio / Days to Cover

Dr. Reddy's Laboratories has a short interest ratio ("days to cover") of 13.9, which indicates bearish sentiment.

Change versus previous month

Short interest in Dr. Reddy's Laboratories has recently increased by 385.45%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 1.5 / 5
• News Sentiment: -0.22

News Sentiment

Dr. Reddy's Laboratories has a news sentiment score of -0.22. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.45 average news sentiment score of Medical companies.

News Coverage This Week

MarketBeat has tracked 2 news articles for Dr. Reddy's Laboratories this week, compared to 3 articles on an average week.

Search Interest

3 people have searched for RDY on MarketBeat in the last 30 days. This is an increase of 200% compared to the previous 30 days.

Company Ownership

• Score: 0.0 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, Dr. Reddy's Laboratories insiders have not sold or bought any company stock.

Percentage Held by Insiders

Only 2.00% of the stock of Dr. Reddy's Laboratories is held by insiders.

Percentage Held by Institutions

Only 14.02% of the stock of Dr. Reddy's Laboratories is held by institutions.

RDY Stock Analysis - Frequently Asked Questions

How have RDY shares performed this year?

Dr. Reddy's Laboratories' stock was trading at $13.9160 at the start of the year. Since then, RDY shares have increased by 2.8% and is now trading at $14.30.
View the best growth stocks for 2024 here.

How were Dr. Reddy's Laboratories' earnings last quarter?

Dr. Reddy's Laboratories Limited (NYSE:RDY) issued its quarterly earnings results on Wednesday, January, 31st. The company reported $0.20 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.18 by $0.02. The firm had revenue of $867 million for the quarter, compared to the consensus estimate of $827.81 million. Dr. Reddy's Laboratories had a net margin of 17.81% and a trailing twelve-month return on equity of 18.53%.

When did Dr. Reddy's Laboratories' stock split?

Shares of Dr. Reddy's Laboratories split on Tuesday, November 5th 2024. The 5-1 split was announced on Thursday, September 12th 2024. The newly minted shares were payable to shareholders after the closing bell on Monday, November 4th 2024. An investor that had 100 shares of stock prior to the split would have 500 shares after the split.

Who are Dr. Reddy's Laboratories' major shareholders?

Dr. Reddy's Laboratories' top institutional shareholders include Robeco Institutional Asset Management B.V. (1.24%), Aikya Investment Management Ltd (0.13%), State Street Corp (0.11%) and Fisher Asset Management LLC (0.06%).

How do I buy shares of Dr. Reddy's Laboratories?

Shares of RDY stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
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What other stocks do shareholders of Dr. Reddy's Laboratories own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Dr. Reddy's Laboratories investors own include Siemens Aktiengesellschaft (SIEGY), Meta Platforms (META), NVIDIA (NVDA), Advanced Micro Devices (AMD), Netflix (NFLX), Tesla (TSLA) and JPMorgan Chase & Co. (JPM).

Company Calendar

• Last Earnings: 1/31/2024
• Today: 11/21/2024
• Next Earnings (Estimated): 1/29/2025
• Fiscal Year End: 3/31/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Medical
• Industry: Pharmaceutical preparations
• Sub-Industry: Pharmaceutical Products
• Current Symbol: NYSE:RDY
• CUSIP: N/A
• CIK: 1135951
• Web: www.drreddys.com
• Phone: 914049002900
• Fax: 91-40-4900-2999
• Employees: 27,048
• Year Founded: 1984

Price Target and Rating

• Average Stock Price Target: $17.00
• High Stock Price Target: $17.00
• Low Stock Price Target: $17.00
• Potential Upside/Downside: +18.9%
• Consensus Rating: Hold
• Rating Score (0-4): 2.00
• Research Coverage: 2 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $0.63
• Trailing P/E Ratio: 22.84
• Forward P/E Ratio: 17.23
• P/E Growth: N/A
• Net Income: $668 million
• Net Margins: 17.81%
• Pretax Margin: 23.95%
• Return on Equity: 18.53%
• Return on Assets: 13.01%

Debt

• Debt-to-Equity Ratio: 0.02
• Current Ratio: 1.92
• Quick Ratio: 1.36

Sales & Book Value

• Annual Sales: $299.87 billion
• Price / Sales: 0.04
• Cash Flow: $1.02 per share
• Price / Cash Flow: 13.97
• Book Value: $4.04 per share
• Price / Book: 3.54

Miscellaneous

• Outstanding Shares: 834,701,000
• Free Float: 818,007,000
• Market Cap: $11.94 billion
• Optionable: Optionable
• Beta: 0.56