Caplin Point Laboratories Ltd.
ISIN: INE475E01026 • Market Cap: ₹19,543 Cr
The 5-Pillar Quality Audit for Caplin Point Laboratories Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (34.8%), Return on Capital Employed (23.4%), and equity compounding (18.8%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.00 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (16.0%) and 3Y PAT CAGR (21.7%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 29.37 vs PEG of 2.72 and Dividend Yield of 0.2%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 70.6%, backed by 8.2% institutional ownership.
Key Fundamental Strengths
Superior Capital Efficiency (ROCE: 23.4%)
Caplin Point Laboratories Ltd. generates exceptional return on capital employed of 23.4%, reflecting pricing power and competitive moat.
Robust Equity Compounding (ROE: 18.8%)
Shareholder equity compounds at a healthy 18.8%, exceeding average Indian equity benchmarks.
Fortress Balance Sheet (D/E: 0.00)
The company operates virtually debt-free, shielding net margins from interest rate cycles and monetary tightening.
Strong Topline Expansion (3Y Sales CAGR: 16.0%)
Revenue has expanded at 16.0% CAGR over 3 years, signaling industry market-share gains.
High-Velocity Profit Compounding (3Y PAT CAGR: 21.7%)
Net earnings have compounded at 21.7% annualized, demonstrating operating leverage.
Areas to Watch & Potential Risks
Sectoral & Macro Headwinds (Healthcare)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Healthcare space.
Quantitative Strategy Eligibility
Checking CAPLIPOINT against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Passes Saurabh Mukherjea's Coffee Can rule: 10%+ sustained revenue growth and 15%+ ROCE/ROE.
Quality Factor Screener (High RoIC + Low Debt)
Qualifies for Indian Quality Indices with overall score of 80/100 and clean gearing.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Healthcare Sector Peer Comparison
Compare CAPLIPOINT directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Caplin Point Laboratories Ltd. (CAPLIPOINT)Current | 80/100 | ₹19,543 Cr | 29.37 | 23.4% | 0.00 | — |
| Sun Pharmaceutical Industries Ltd. (SUNPHARMA) | 77/100 | ₹4.55 Lakh Cr | 37.65 | 20.4% | 0.05 | View |
| Divi's Laboratories Ltd. (DIVISLAB) | 73/100 | ₹2.26 Lakh Cr | 77.37 | 19.4% | 0.00 | View |
| Torrent Pharmaceuticals Ltd. (TORNTPHARM) | 64/100 | ₹1.91 Lakh Cr | 87.43 | 9.5% | 1.76 | View |
| Apollo Hospitals Enterprise Ltd. (APOLLOHOSP) | 70/100 | ₹1.27 Lakh Cr | 60.55 | 19.1% | 0.62 | View |
| Cipla Ltd. (CIPLA) | 63/100 | ₹1.14 Lakh Cr | 33.94 | 16.1% | 0.01 | View |
Frequently Asked Questions: Caplin Point Laboratories Ltd.
Q:What is the 5-Pillar Fundamental Score for Caplin Point Laboratories Ltd. (CAPLIPOINT)?
Caplin Point Laboratories Ltd. has a RupeeTools Fundamental Score of 80/100, placing it in the 'Exceptional Quality' category. Its pillar scores are: Profitability (92/100), Financial Health (84/100), Growth (86/100), Valuation (50/100), and Ownership Quality (72/100).
Q:Is CAPLIPOINT fundamentally strong for long-term investment?
Yes, CAPLIPOINT exhibits solid fundamental strength with a 80/100 score, driven by a return on equity of 18.8% and a debt-to-equity ratio of 0.00.
Q:Does CAPLIPOINT pass the Coffee Can Investing filter?
Yes! CAPLIPOINT satisfies both core pillars of Coffee Can Investing: achieving consistently high capital returns (ROCE/ROE >= 15%) alongside double-digit multi-year revenue growth.
Q:How does CAPLIPOINT compare against other Healthcare peers?
Within India's Healthcare sector, CAPLIPOINT trades at a P/E of 29.37 and generates an ROCE of 23.4%. Compare its 5-Pillar score of 80/100 against top sector peers like Sun Pharmaceutical Industries Ltd. (77/100), Divi's Laboratories Ltd. (73/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.