Dr. Reddy's Laboratories Stock Analysis, Valuation (NYSE:RDY)

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$33.31 $1.11 (3.45%) RDY stock closing price Aug 16, 2018 (Closing)

View the Dr. Reddy's Laboratories stock analysis video on Amigobulls. This video puts forward our latest analysis highlighting the pros and cons for RDY stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Dr.Reddy's Laboratories Ltd (ADR) Stock Rating 3.4/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for RDY stock analysis. Dr. Reddy's Laboratories valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Based on a company's historical fundamentals we arrive at Dr. Reddy's Laboratories stock rating which is indicative of the company's financial performance.

Should you buy RDY stock?

  • The TTM operating margin was good at 11.06 for Dr. Reddy's Laboratories.
  • Net margins stood at a healthy 9.4% (average) for Dr. Reddy's Laboratories in the Trailing Twelve Months.
  • When compared with the Medical sector average PS ratio of 6.2, the price-to-sales ratio of 2.5 for RDY stock is attractive.
  • The LTM ROE of 11 for Dr. Reddy's Laboratories is attractive.

Should you sell RDY stock?

  • Revenue growth of 0.8 has been weak over the last 5 years.

Comments on this video and Dr. Reddy's Laboratories stock

Amigobulls Dr. Reddy's Laboratories stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of RDY stock. Company's fundamentals remain one of the key driver of RDY stock and helps investors in making good buy and sell decision.

Dr. Reddy's Laboratories revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. One can also combine technical analysis and fundamental analysis to get a holistic picture about RDY stock.