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Dr Reddy's Laboratories (BOM:500124) Cyclically Adjusted PS Ratio : 4.29 (As of May. 24, 2024)


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What is Dr Reddy's Laboratories Cyclically Adjusted PS Ratio?

As of today (2024-05-24), Dr Reddy's Laboratories's current share price is ₹5892.25. Dr Reddy's Laboratories's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was ₹1,372.91. Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio for today is 4.29.

The historical rank and industry rank for Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio or its related term are showing as below:

BOM:500124' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 2.27   Med: 3.95   Max: 5.89
Current: 4.29

During the past years, Dr Reddy's Laboratories's highest Cyclically Adjusted PS Ratio was 5.89. The lowest was 2.27. And the median was 3.95.

BOM:500124's Cyclically Adjusted PS Ratio is ranked worse than
76.88% of 744 companies
in the Drug Manufacturers industry
Industry Median: 2.115 vs BOM:500124: 4.29

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Dr Reddy's Laboratories's adjusted revenue per share data for the three months ended in Mar. 2024 was ₹424.666. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is ₹1,372.91 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Dr Reddy's Laboratories Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Dr Reddy's Laboratories Cyclically Adjusted PS Ratio Chart

Dr Reddy's Laboratories Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.11 4.13 3.64 3.61 4.48

Dr Reddy's Laboratories Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.61 3.90 4.16 4.25 4.48

Competitive Comparison of Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio

For the Drug Manufacturers - Specialty & Generic subindustry, Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio falls into.



Dr Reddy's Laboratories Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Dr Reddy's Laboratories's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=5892.25/1372.91
=4.29

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Dr Reddy's Laboratories's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Dr Reddy's Laboratories's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=424.666/153.0345*153.0345
=424.666

Current CPI (Mar. 2024) = 153.0345.

Dr Reddy's Laboratories Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 206.039 94.103 335.071
201409 209.987 96.780 332.043
201412 224.833 96.780 355.518
201503 226.260 97.163 356.366
201506 219.690 99.841 336.738
201509 233.210 101.753 350.742
201512 231.964 102.901 344.977
201603 219.536 102.518 327.713
201606 190.279 105.961 274.811
201609 215.871 105.961 311.772
201612 223.289 105.196 324.831
201703 214.253 105.196 311.686
201706 199.740 107.109 285.384
201709 213.458 109.021 299.633
201712 229.111 109.404 320.481
201803 212.655 109.786 296.426
201806 223.927 111.317 307.848
201809 228.486 115.142 303.680
201812 231.778 115.142 308.055
201903 241.884 118.202 313.164
201906 231.433 120.880 292.995
201909 289.240 123.175 359.356
201912 264.475 126.235 320.622
202003 266.692 124.705 327.277
202006 265.828 127.000 320.321
202009 294.393 130.118 346.242
202012 296.273 130.889 346.400
202103 284.367 131.771 330.256
202106 295.957 134.084 337.785
202109 346.548 135.847 390.394
202112 319.859 138.161 354.294
202203 326.829 138.822 360.290
202206 313.556 142.347 337.097
202209 379.033 144.661 400.973
202212 406.873 145.763 427.171
202303 378.261 146.865 394.152
202306 404.641 150.280 412.057
202309 412.720 151.492 416.922
202312 432.604 152.924 432.916
202403 424.666 153.035 424.666

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Dr Reddy's Laboratories  (BOM:500124) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Dr Reddy's Laboratories Cyclically Adjusted PS Ratio Related Terms

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Dr Reddy's Laboratories (BOM:500124) Business Description

Address
8-2-337, Road No. 3, Banjara Hills, Hyderabad, TG, IND, 500 034
Dr. Reddy's is one of the largest generic drug manufacturers in the world. It has a significant presence in North America, a region that makes up roughly half of its generics sales, and it services India (22% of its generics sales), Russia (12%), and certain European and Latin American countries. Beyond simple generics, Dr. Reddy's also has a solid portfolio of injectables which make up 25% of its North America sales. In branded generic markets like India, Dr. Reddy's has established a compelling presence with its strong brand name and earned a top five spot in key therapeutic areas including oncology and gastroenterology. Dr. Reddy's also has an active pharmaceutical ingredient business that manufactures over 150 APIs and sells in over 75 countries.

Dr Reddy's Laboratories (BOM:500124) Headlines

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