Fermenta Biotech Ltd

FERMENTAPharmaceuticals
310.15+0.00 (+0.00%)
As on 29 Jan 2026, 10:35 amMarket Closed

Fundamental Score

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Fermenta Biotech Ltd Share Price Live NSE/BSE

No data
High
0.00
Low
0.00
Volume
0
Change
+0.00%

Profitability Metrics

Excellent

Return on Equity

24.88%
Excellent

Return on Capital Employed

22.97%
Excellent

Operating Profit Margin (5Y)

15.97%
Average

Dividend Yield

0.90%

Valuation Metrics

Excellent

Price to Earnings

7.30x

Market Capitalization

818.18 (Cr)

Industry P/E

31.77x

Growth Metrics

Excellent

YoY Quarterly Profit Growth

65.91%
Excellent

YoY Quarterly Sales Growth

37.03%
Poor

Sales Growth (5Y)

9.89%
Poor

EPS Growth (5Y)

7.00%
Poor

Profit Growth (5Y)

7.00%

Financial Health

Excellent

Debt to Equity

0.29x
Excellent

Interest Coverage

11.15x
Excellent

Free Cash Flow (5Y)

213.64 (Cr)

Ownership Structure

Good

Promoter Holding

64.09%
Poor

FII Holding

0.02%
Poor

DII Holding

0.00%
Excellent

Pledged Percentage

0.00%
Market-cap Classification
Small-cap
Higher growth potential with higher volatility.
64.09%
Promoter Holding
818.18 (Cr)
Market Cap

Labels (e.g., "Excellent", "Good") are peer-based vs industry/sector averages — data-only, not advice

Market Data Analysis & Educational Insights

Educational evaluation of FERMENTA across key market metrics for learning purposes.

Positive Indicators

11 factors identified

Strong Return on Equity (24.88%)

Observation: Efficient use of shareholders' capital generating superior returns.

Analysis: ROE >15% indicates strong profitability and effective management. This metric suggests the company can generate substantial returns on invested capital.

Excellent ROCE Performance (22.97%)

Observation: Superior returns on capital employed across business operations.

Analysis: ROCE >15% demonstrates efficient capital deployment and strong operational performance. This indicates quality business fundamentals.

Strong Operating Margins (15.97%)

Observation: Healthy 5-year operating margins indicate pricing power and cost control.

Analysis: OPM >15% suggests operational efficiency and competitive advantages. This indicates sustainable profitability potential.

Attractive Valuation (P/E: 7.30 vs Industry: 31.77)

Observation: Trading at discount to industry peers.

Analysis: P/E below industry average may present value opportunity if fundamentals support the business case.

Robust Profit Growth (65.91%)

Observation: Strong year-over-year profit expansion demonstrates business momentum.

Analysis: Profit growth >20% indicates effective execution and market opportunity capture. This suggests positive business trajectory.

Strong Revenue Growth (37.03%)

Observation: Healthy sales growth indicates market demand and execution capability.

Analysis: Revenue growth >15% suggests strong market position and growth potential. This indicates business expansion success.

Conservative Debt Levels (D/E: 0.29)

Observation: Low leverage provides financial flexibility and reduced risk.

Analysis: Conservative debt structure offers resilience during economic downturns and flexibility for growth investments.

Strong Interest Coverage (11.15x)

Observation: Earnings comfortably cover interest obligations.

Analysis: Interest coverage >5x indicates low financial distress risk and strong debt servicing capability.

Strong Cash Generation (₹213.64 Cr over 5Y)

Observation: Healthy free cash flow generation supports growth and returns.

Analysis: Strong FCF provides flexibility for dividends, debt reduction, and growth investments.

Balanced Promoter Holding (64.09%)

Observation: Optimal balance between promoter control and public float.

Analysis: Promoter holding in 50-75% range provides management alignment while ensuring adequate liquidity.

Zero Share Pledging Risk

Observation: No promoter shares pledged as collateral, reducing forced-selling risk.

Analysis: Absence of share pledging eliminates potential forced-selling pressure during market stress.

Risk Factors

1 factors identified

Limited Institutional Interest (FII+DII: 0.02%)

Observation: Low institutional participation may affect liquidity and visibility.

Analysis: Limited institutional interest may indicate size constraints or visibility issues in the investment community.

Financial Statements

Comprehensive financial data for Fermenta Biotech Ltd

About FERMENTA

Business Overview

Fermenta Biotech Limited, together with its subsidiaries, manufactures and markets chemicals, bulk drugs, and enzymes in India, Europe, the United States, and internationally. It provides pharmaceutical formulations and environmental solutions; rents and sells properties; and sports and health awareness/education services. The company also offers various variants of vitamin D3, including crystalline oil, resin oil, cold water dispersible, and feed grade powder for use in various applications, such as pharmaceuticals, dietary and nutritional supplements, feed, injectables, soft gel capsules, premixes, food and beverage fortification, veterinary, feed, and rodenticides; pharmaceutical ingredients comprising phenyramidol and silicon dry powder; nutritional premixes; and enzymes for use in oleochemicals, fine chemicals, active pharmaceutical ingredients, food and fragrances, leather, and biodiesel industries. In addition, it engages in the design, engineering, procurement, and construction of water and wastewater treatment plants; and offers operations and maintenance services, as well as property development business. The company was formerly known as DIL Limited. Fermenta Biotech Limited was incorporated in 1951 and is based in Thane, India.

Company Details

Symbol:FERMENTA
Industry:Pharmaceuticals
Sector:Pharmaceuticals

Key Leadership

Mr. Prashant Prabhakar Nagre
MD & Additional Director
Mr. Krishna Vasantkumar Datla
Executive Vice-Chairman
Mr. Sumesh Gandhi CA
Group CFO & President

FERMENTA Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)24.88%
Return on Capital Employed22.97%
Operating Profit Margin (5Y)15.97%
Debt to Equity Ratio0.29
Interest Coverage Ratio11.15

Growth & Valuation

Sales Growth (5Y)9.89%
Profit Growth (5Y)7.00%
EPS Growth (5Y)7.00%
YoY Quarterly Profit Growth65.91%
YoY Quarterly Sales Growth37.03%

Frequently Asked Questions

What is the current price of Fermenta Biotech Ltd (FERMENTA)?

As of 29 Jan 2026, 10:35 am IST, Fermenta Biotech Ltd (FERMENTA) is currently trading at ₹310.15. The stock has a market capitalization of ₹818.18 (Cr).

Is FERMENTA share price Overvalued or Undervalued?

FERMENTA is currently trading at a P/E ratio of 7.30x, compared to the industry average of 31.77x. Based on this relative valuation, the stock appears to be Undervalued against its sector peers.

What factors affect the Fermenta Biotech Ltd share price?

Key factors influencing FERMENTA's price include its quarterly earnings growth (Sales Growth: 37.03%), raw material costs, government infrastructure spending, and institutional flows (FII/DII holding).

Is Fermenta Biotech Ltd a good stock for long-term investment?

Fermenta Biotech Ltd shows a 5-year Profit Growth of 7.00% and an ROE of 24.88%. Long-term investors should consider these fundamentals alongside the debt-to-equity ratio of 0.29 before investing.

How does Fermenta Biotech Ltd compare with its industry peers?

Fermenta Biotech Ltd competes with major peers in the Pharmaceuticals. Investors should compare FERMENTA's P/E of 7.30x and ROE of 24.88% against the industry averages to determine its competitive standing.

What is the P/E ratio of FERMENTA and what does it mean?

FERMENTA has a P/E ratio of 7.30x compared to the industry average of 31.77x. The Price-to-Earnings (P/E) ratio is calculated by dividing the current share price by earnings per share (EPS). This means investors are paying ₹7 for every ₹1 of annual earnings.

How is FERMENTA performing according to Bull Run's analysis?

FERMENTA has a Bull Run fundamental score of 67.5/100, which indicates moderate strength with some areas for improvement. This comprehensive rating is based on 15+ financial parameters including profitability, growth metrics, and valuation ratios.

What sector and industry does FERMENTA belong to?

FERMENTA operates in the Pharmaceuticals industry. This classification helps understand the competitive landscape and sector-specific trends affecting Fermenta Biotech Ltd.

What is Return on Equity (ROE) and why is it important for FERMENTA?

FERMENTA has an ROE of 24.88%, which indicates excellent management efficiency and profitable operations. Return on Equity measures how efficiently Fermenta Biotech Ltd generates profits from shareholders' equity.

How is FERMENTA's debt-to-equity ratio and what does it indicate?

FERMENTA has a debt-to-equity ratio of 0.29, which indicates conservative financing with low financial risk. A ratio below 1.0 generally indicates conservative financing.

What is FERMENTA's dividend yield and is it a good dividend stock?

FERMENTA offers a dividend yield of 0.90%, which means you receive ₹0.90 annual dividend for every ₹100 invested.

How has FERMENTA grown over the past 5 years?

FERMENTA has achieved 5-year growth rates of: Sales Growth 9.89%, Profit Growth 7.00%, and EPS Growth 7.00%.

What is the promoter holding in FERMENTA and why does it matter?

Promoters hold 64.09% of FERMENTA shares, with 0.00% of promoter shares pledged. High promoter holding often indicates strong management confidence.

What is FERMENTA's market capitalization category?

FERMENTA has a market capitalization of ₹818 crores, placing it in the Small-cap category.

How volatile is FERMENTA stock?

FERMENTA has a beta of N/A. A beta > 1 suggests the stock is more volatile than the market, while a beta < 1 suggests it is less volatile.

What is the 52-week high and low for FERMENTA?

FERMENTA has a 52-week high of ₹N/A and low of ₹N/A.

What is FERMENTA's operating profit margin trend?

FERMENTA has a 5-year average Operating Profit Margin (OPM) of 15.97%, indicating the company's operational efficiency.

How is FERMENTA's quarterly performance?

Recent quarterly performance shows YoY Sales Growth of 37.03% and YoY Profit Growth of 65.91%.

What is the institutional holding pattern in FERMENTA?

FERMENTA has FII holding of 0.02% and DII holding of 0.00%. Significant institutional holding often suggests professional confidence in the stock.