Fundamental Analysis

LINCOLN PHARMACEUTICALS 

Ticker : 531633
BUY: Rs 237.35  
Target: Rs 265

Lincoln Pharmaceuticals Limited (LPL) is engaged in the business of manufacturing, marketing, and distribution of pharmaceutical products. On a consolidated quarterly front, the total income increased to Rs 105.59 crore in Q1FY21, expanding by 7.63 per cent from Rs 98.10 crore in the same quarter of the previous fiscal year. The company reported an operating profit of Rs 64.04 crore in Q4FY21, increasing significantly from Rs 21.41 crore in Q1FY19. Net profit of the quarter ended June 2020 was reported at Rs 15.26 crore, up by 20.44 per cent from Rs 12.67 crore in the quarter ended June 2019. LPL has become debt-free and has reported a robust set of numbers for the latest quarter despite a challenging business environment. Its strategic growth initiatives, strong performance in the domestic and international markets, new product approvals, and better margin products along with operational efficiency are likely to contribute towards a healthy growth in the future. We recommend a BUY.