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RDY vs. RMD: A Head-to-Head Stock Comparison

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Here’s a clear look at RDY and RMD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

RDY trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, RMD is a standard domestic listing.

SymbolRDYRMD
Company NameDr. Reddy's Laboratories LimitedResMed Inc.
CountryIndiaUnited States
GICS SectorHealth CareHealth Care
GICS IndustryPharmaceuticalsHealth Care Equipment & Supplies
Market Capitalization12.18 billion USD43.01 billion USD
ExchangeNYSENYSE
Listing DateApril 11, 2001June 2, 1995
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of RDY and RMD by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

RDY vs. RMD: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolRDYRMD
5-Day Price Return1.16%2.66%
13-Week Price Return3.95%19.51%
26-Week Price Return4.99%27.39%
52-Week Price Return-9.49%30.95%
Month-to-Date Return0.83%8.01%
Year-to-Date Return-7.88%28.44%
10-Day Avg. Volume1.40M0.90M
3-Month Avg. Volume1.68M0.96M
3-Month Volatility19.60%18.00%
Beta0.680.85

Profitability

Return on Equity (TTM)

RDY

8.86%

Pharmaceuticals Industry

Max
38.59%
Q3
19.84%
Median
11.90%
Q1
5.63%
Min
-9.96%

RDY’s Return on Equity of 8.86% is on par with the norm for the Pharmaceuticals industry, indicating its profitability relative to shareholder equity is typical for the sector.

RMD

25.51%

Health Care Equipment & Supplies Industry

Max
34.53%
Q3
19.38%
Median
9.52%
Q1
4.86%
Min
-7.58%

In the upper quartile for the Health Care Equipment & Supplies industry, RMD’s Return on Equity of 25.51% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

RDY vs. RMD: A comparison of their Return on Equity (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Net Profit Margin (TTM)

RDY

16.95%

Pharmaceuticals Industry

Max
34.51%
Q3
17.73%
Median
12.12%
Q1
5.99%
Min
-7.73%

RDY’s Net Profit Margin of 16.95% is aligned with the median group of its peers in the Pharmaceuticals industry. This indicates its ability to convert revenue into profit is typical for the sector.

RMD

27.22%

Health Care Equipment & Supplies Industry

Max
23.34%
Q3
13.06%
Median
9.53%
Q1
5.96%
Min
-3.87%

RMD’s Net Profit Margin of 27.22% is exceptionally high, placing it well beyond the typical range for the Health Care Equipment & Supplies industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

RDY vs. RMD: A comparison of their Net Profit Margin (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Operating Profit Margin (TTM)

RDY

20.17%

Pharmaceuticals Industry

Max
41.53%
Q3
23.00%
Median
16.24%
Q1
9.24%
Min
-6.94%

RDY’s Operating Profit Margin of 20.17% is around the midpoint for the Pharmaceuticals industry, indicating that its efficiency in managing core business operations is typical for the sector.

RMD

32.75%

Health Care Equipment & Supplies Industry

Max
29.44%
Q3
17.80%
Median
13.95%
Q1
8.73%
Min
-3.56%

RMD’s Operating Profit Margin of 32.75% is exceptionally high, placing it well above the typical range for the Health Care Equipment & Supplies industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

RDY vs. RMD: A comparison of their Operating Profit Margin (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Profitability at a Glance

SymbolRDYRMD
Return on Equity (TTM)8.86%25.51%
Return on Assets (TTM)5.93%18.61%
Net Profit Margin (TTM)16.95%27.22%
Operating Profit Margin (TTM)20.17%32.75%
Gross Profit Margin (TTM)68.36%59.33%

Financial Strength

Current Ratio (MRQ)

RDY

1.92

Pharmaceuticals Industry

Max
4.49
Q3
2.77
Median
1.74
Q1
1.26
Min
0.11

RDY’s Current Ratio of 1.92 aligns with the median group of the Pharmaceuticals industry, indicating that its short-term liquidity is in line with its sector peers.

RMD

3.44

Health Care Equipment & Supplies Industry

Max
4.90
Q3
3.05
Median
2.14
Q1
1.49
Min
0.86

RMD’s Current Ratio of 3.44 is in the upper quartile for the Health Care Equipment & Supplies industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

RDY vs. RMD: A comparison of their Current Ratio (MRQ) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Debt-to-Equity Ratio (MRQ)

RDY

0.14

Pharmaceuticals Industry

Max
2.44
Q3
1.07
Median
0.42
Q1
0.11
Min
0.00

RDY’s Debt-to-Equity Ratio of 0.14 is typical for the Pharmaceuticals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

RMD

0.11

Health Care Equipment & Supplies Industry

Max
1.49
Q3
0.71
Median
0.45
Q1
0.14
Min
0.00

Falling into the lower quartile for the Health Care Equipment & Supplies industry, RMD’s Debt-to-Equity Ratio of 0.11 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

RDY vs. RMD: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Interest Coverage Ratio (TTM)

RDY

13.50

Pharmaceuticals Industry

Max
103.95
Q3
44.18
Median
9.83
Q1
2.82
Min
-42.71

RDY’s Interest Coverage Ratio of 13.50 is positioned comfortably within the norm for the Pharmaceuticals industry, indicating a standard and healthy capacity to cover its interest payments.

RMD

661.20

Health Care Equipment & Supplies Industry

Max
58.29
Q3
25.56
Median
9.06
Q1
3.60
Min
-28.92

With an Interest Coverage Ratio of 661.20, RMD demonstrates a superior capacity to service its debt, placing it well above the typical range for the Health Care Equipment & Supplies industry. This stems from either robust earnings or a conservative debt load.

RDY vs. RMD: A comparison of their Interest Coverage Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Financial Strength at a Glance

SymbolRDYRMD
Current Ratio (MRQ)1.923.44
Quick Ratio (MRQ)1.372.16
Debt-to-Equity Ratio (MRQ)0.140.11
Interest Coverage Ratio (TTM)13.50661.20

Growth

Revenue Growth

RDY vs. RMD: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

RDY vs. RMD: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

RDY

0.64%

Pharmaceuticals Industry

Max
6.98%
Q3
3.32%
Median
2.13%
Q1
0.14%
Min
0.00%

RDY’s Dividend Yield of 0.64% is consistent with its peers in the Pharmaceuticals industry, providing a dividend return that is standard for its sector.

RMD

0.74%

Health Care Equipment & Supplies Industry

Max
4.05%
Q3
1.76%
Median
0.71%
Q1
0.00%
Min
0.00%

RMD’s Dividend Yield of 0.74% is consistent with its peers in the Health Care Equipment & Supplies industry, providing a dividend return that is standard for its sector.

RDY vs. RMD: A comparison of their Dividend Yield (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Dividend Payout Ratio (TTM)

RDY

53.05%

Pharmaceuticals Industry

Max
165.20%
Q3
90.59%
Median
49.13%
Q1
28.91%
Min
0.00%

RDY’s Dividend Payout Ratio of 53.05% is within the typical range for the Pharmaceuticals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

RMD

22.19%

Health Care Equipment & Supplies Industry

Max
160.00%
Q3
72.47%
Median
27.49%
Q1
0.00%
Min
0.00%

RMD’s Dividend Payout Ratio of 22.19% is within the typical range for the Health Care Equipment & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

RDY vs. RMD: A comparison of their Dividend Payout Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Dividend at a Glance

SymbolRDYRMD
Dividend Yield (TTM)0.64%0.74%
Dividend Payout Ratio (TTM)53.05%22.19%

Valuation

Price-to-Earnings Ratio (TTM)

RDY

18.29

Pharmaceuticals Industry

Max
42.51
Q3
26.88
Median
19.11
Q1
15.12
Min
0.00

RDY’s P/E Ratio of 18.29 is within the middle range for the Pharmaceuticals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

RMD

30.13

Health Care Equipment & Supplies Industry

Max
73.48
Q3
51.69
Median
34.31
Q1
25.74
Min
11.47

RMD’s P/E Ratio of 30.13 is within the middle range for the Health Care Equipment & Supplies industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

RDY vs. RMD: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Price-to-Sales Ratio (TTM)

RDY

3.10

Pharmaceuticals Industry

Max
7.55
Q3
4.54
Median
2.11
Q1
1.52
Min
0.00

RDY’s P/S Ratio of 3.10 aligns with the market consensus for the Pharmaceuticals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

RMD

8.20

Health Care Equipment & Supplies Industry

Max
9.53
Q3
5.26
Median
3.39
Q1
2.13
Min
0.00

RMD’s P/S Ratio of 8.20 is in the upper echelon for the Health Care Equipment & Supplies industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

RDY vs. RMD: A comparison of their Price-to-Sales Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Price-to-Book Ratio (MRQ)

RDY

2.84

Pharmaceuticals Industry

Max
9.78
Q3
4.96
Median
2.23
Q1
1.46
Min
0.60

RDY’s P/B Ratio of 2.84 is within the conventional range for the Pharmaceuticals industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

RMD

6.34

Health Care Equipment & Supplies Industry

Max
10.85
Q3
5.98
Median
3.48
Q1
2.43
Min
0.69

RMD’s P/B Ratio of 6.34 is in the upper tier for the Health Care Equipment & Supplies industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

RDY vs. RMD: A comparison of their Price-to-Book Ratio (MRQ) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Valuation at a Glance

SymbolRDYRMD
Price-to-Earnings Ratio (TTM)18.2930.13
Price-to-Sales Ratio (TTM)3.108.20
Price-to-Book Ratio (MRQ)2.846.34
Price-to-Free Cash Flow Ratio (TTM)86.3525.57