Dr Reddys (Germany) Performance

RDDA Stock  EUR 12.10  0.10  0.82%   
The firm owns a Beta (Systematic Risk) of 0.29, which means not very significant fluctuations relative to the market. As returns on the market increase, Dr Reddys' returns are expected to increase less than the market. However, during the bear market, the loss of holding Dr Reddys is expected to be smaller as well. At this point, Dr Reddys Laboratories has a negative expected return of -0.21%. Please make sure to confirm Dr Reddys' coefficient of variation, jensen alpha, and the relationship between the mean deviation and standard deviation , to decide if Dr Reddys Laboratories performance from the past will be repeated in the future.

Risk-Adjusted Performance

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Over the last 90 days Dr Reddys Laboratories has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fragile performance in the last few months, the Stock's fundamental indicators remain nearly stable which may send shares a bit higher in April 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders. ...more
Begin Period Cash Flow14.8 B
Total Cashflows From Investing Activities-26.4 B
  

Dr Reddys Relative Risk vs. Return Landscape

If you would invest  1,380  in Dr Reddys Laboratories on December 4, 2024 and sell it today you would lose (170.00) from holding Dr Reddys Laboratories or give up 12.32% of portfolio value over 90 days. Dr Reddys Laboratories is producing return of less than zero assuming 1.5409% volatility of returns over the 90 days investment horizon. Simply put, 13% of all stocks have less volatile historical return distribution than Dr Reddys, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days.
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Assuming the 90 days trading horizon Dr Reddys is expected to under-perform the market. In addition to that, the company is 1.95 times more volatile than its market benchmark. It trades about -0.14 of its total potential returns per unit of risk. The Dow Jones Industrial is currently generating roughly -0.11 per unit of volatility.

Dr Reddys Market Risk Analysis

Today, many novice investors tend to focus exclusively on investment returns with little concern for Dr Reddys' investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Dr Reddys Laboratories, and traders can use it to determine the average amount a Dr Reddys' price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.

Sharpe Ratio = -0.1368

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Negative ReturnsRDDA

Estimated Market Risk

 1.54
  actual daily
13
87% of assets are more volatile

Expected Return

 -0.21
  actual daily
0
Most of other assets have higher returns

Risk-Adjusted Return

 -0.14
  actual daily
0
Most of other assets perform better
Based on monthly moving average Dr Reddys is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Dr Reddys by adding Dr Reddys to a well-diversified portfolio.

Dr Reddys Fundamentals Growth

RDDA Stock prices reflect investors' perceptions of the future prospects and financial health of Dr Reddys, and Dr Reddys fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on RDDA Stock performance.

About Dr Reddys Performance

By analyzing Dr Reddys' fundamental ratios, stakeholders can gain valuable insights into Dr Reddys' financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Dr Reddys has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Dr Reddys has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Reddys Laboratories Limited operates as an integrated pharmaceutical company worldwide. Reddys Laboratories Limited was founded in 1984 and is headquartered in Hyderabad, India. DR REDDYS operates under Drug Manufacturers - Specialty Generic classification in Germany and is traded on Frankfurt Stock Exchange. It employs 21966 people.

Things to note about Dr Reddys Laboratories performance evaluation

Checking the ongoing alerts about Dr Reddys for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Dr Reddys Laboratories help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
Dr Reddys generated a negative expected return over the last 90 days
Evaluating Dr Reddys' performance can involve analyzing a variety of financial metrics and factors. Some of the key considerations to evaluate Dr Reddys' stock performance include:
  • Analyzing Dr Reddys' financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
  • Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Dr Reddys' stock is overvalued or undervalued compared to its peers.
  • Examining Dr Reddys' industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
  • Evaluating Dr Reddys' management team can have a significant impact on its success or failure. Reviewing the track record and experience of Dr Reddys' management team can help you assess the Company's leadership.
  • Pay attention to analyst opinions and ratings of Dr Reddys' stock. These opinions can provide insight into Dr Reddys' potential for growth and whether the stock is currently undervalued or overvalued.
It's essential to remember that evaluating Dr Reddys' stock performance is not an exact science, and many factors can impact Dr Reddys' stock market price. Therefore, it's also important to diversify your portfolio and not rely solely on one company or stock for your investments.

Complementary Tools for RDDA Stock analysis

When running Dr Reddys' price analysis, check to measure Dr Reddys' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Dr Reddys is operating at the current time. Most of Dr Reddys' value examination focuses on studying past and present price action to predict the probability of Dr Reddys' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Dr Reddys' price. Additionally, you may evaluate how the addition of Dr Reddys to your portfolios can decrease your overall portfolio volatility.
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