Natco Pharma Ltd
NATCOPHARMNatco Pharma Ltd is cheap for a reason. The P/E sits at the 13th percentile of its own range, and the quarters are still getting worse.
The sharpest disagreement: the P/E sits at the 13th percentile of its own range, but the engine is deteriorating — cheap for a reason until the quarters turn.
The price is in a confirmed uptrend (16 weeks in) while the P/E sits at the 13th percentile of its own 10-year range. Underneath, the last four quarters read deteriorating — profit −33.7% year on year, and 100% of the last 3 years' profit arrived as cash. What settles it: whether the quarters turn before the discount closes.
Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.
Natco Pharma Ltd trades at ₹945, in a confirmed uptrend and 16 weeks into that stage. That is −2.0% against its own 200-day average. It sits at 36% of a 52-week range of ₹803 to ₹1,199. On relative strength it is currently behind the NIFTY 500 on a trailing-13-week view (12 weeks and counting).
Today the stock is in a confirmed uptrend — week 16 of stage 2. At ₹945 it trades −2.0% versus its 200-day average and sits at 36% of its 52-week range (₹803–₹1,199).
Against the market, two honest reads. Cumulative: over the last 10.4 years the stock moved +124% while the NIFTY 500 moved +280% — behind the index over the full window. Recent form: on a trailing-13-week view the stock is currently behind (12 weeks and counting; last ahead the week of 2026-05-29) — the ribbon below is that same metric, week by week.
What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.
→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 13th percentile of its own range.
Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.
Natco Pharma Ltd trades at 11.6× P/E, near the bottom of its own range — cheaper only 13% of the time. Its long-run median P/E is 22.9×, measured across 10.4 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.
Today's P/E of 11.6× is near the bottom of its own range — cheaper only 13% of the time, against a long-run median of 22.9× measured over 10.4 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.
Why the multiple sits where it does: over the past year annual EPS moved −24.8% against a −8.7% price move — the price outran earnings, pushing the multiple UP its own range.
The price move, decomposed: over 5y, of the −3.1%/yr price move, ~+26.4%/yr came from earnings growth and ~−29.5 pp from the multiple (compressing); over 10y, of the +5.0%/yr price move, ~+22.8%/yr came from earnings growth and ~−17.8 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.
Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.
→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.
Stage: Deteriorating Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).
Natco Pharma Ltd reads as deteriorating on its fundamental arc. Deteriorating — revenue, profit and EPS growth are shrinking (revenue growth −7.9% latest against +59.0% at its 12-quarter best), ROCE slipping at 17.9%. The read is built from 12 quarters across 4 curves, on full evidence.
🚨 Why it matters: falling curves mean every cheap-looking ratio below needs a discount for direction.
| 1yr | 3yr | 5yr | 10yr | |
|---|---|---|---|---|
| Revenue | −7.9% | +14.6% | +14.7% | +14.6% |
| Profit | −24.7% | +25.6% | +26.3% | +24.7% |
| EPS | −24.8% | +26.4% | +26.8% | +24.3% |
| Share price | −8.7% | +9.8% | −3.1% | +5.0% |
→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.
4-Factor Sector Score
42.0/100 — rank 30 of 43 in Pharma - Formulators · 96% evidence confidence
Natco Pharma Ltd scores 42.0 out of 100 against the 43 companies it is compared with in Pharma - Formulators, ranking 30. Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.
The four contributions add to the total exactly: 5.3 + 13.9 + 19.1 + 3.7 = 42. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.
What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.
Revenue Revenue is the top line: everything the company billed its customers in the period.
Natco Pharma Ltd reported ₹739 Cr of revenue in the Mar 26 quarter, −39.5% year on year. Over 10 years it has compounded at 14.6% a year. The last full year, FY26, came in at ₹4,078 Cr. The last four reported quarters add to ₹4,078 Cr.
Natco Pharma Ltd reported ₹739 Cr of revenue in the Mar 26 quarter, −39.5% year on year. Over 10 years it has compounded at 14.6% a year. The last full year, FY26, came in at ₹4,078 Cr. The last four reported quarters add to ₹4,078 Cr.
FY26 revenue came in at ₹4,078 Cr (−7.9% on the year), capping 10 years at 14.6% compound. The latest quarter (Mar 26) printed ₹739 Cr, −39.5% year on year.
Pace check: the last four quarters averaged −1.6% growth against the decade's 14.6% — the current year is running slower than its own long-run rate.
Acceleration check: trailing-twelve-month revenue grew −7.9% over the last 4 quarters against +1.0%/yr over the last 8 — rolling over; TTM profit −24.7% vs +1.1%/yr — rolling over.
→ Revenue slipped — did margins hold as it scaled? Next: 17.0% this quarter (−28.0 pp YoY).
Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.
Natco Pharma Ltd's operating margin is 17.0% in the Mar 26 quarter, −28.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 14.0% to 50.0%. The current quarter sits inside that band.
Natco Pharma Ltd's operating margin is 17.0% in the Mar 26 quarter, −28.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 14.0% to 50.0%. The current quarter sits inside that band.
The latest quarter's operating margin is 17.0%, −28.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 14.0%–50.0%.
🚨 Why the margin moved: operating margin went −27.6 pp year on year while gross margin went −0.5 pp — the loss came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.
→ Margins slipped — did that reach the bottom line? Next: profit −33.7% in the latest quarter.
Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.
Natco Pharma Ltd earned ₹269 Cr of net profit in the Mar 26 quarter, −33.7% year on year. Full-year FY26 profit was ₹1,418 Cr. The 10-year compound rate is 24.7%. That is 36.4% of the quarter's revenue. The same quarter a year earlier earned ₹406 Cr.
Natco Pharma Ltd earned ₹269 Cr of net profit in the Mar 26 quarter, −33.7% year on year. Full-year FY26 profit was ₹1,418 Cr. The 10-year compound rate is 24.7%. That is 36.4% of the quarter's revenue. The same quarter a year earlier earned ₹406 Cr.
Mar 26 profit was ₹269 Cr, −33.7% year on year. On the full year, FY26 printed ₹1,418 Cr (−24.7%), and the 10-year compound rate is 24.7%.
🚨 Why profit moved: revenue contributed −39.5% and the margin −28.0 pp — the quarter was revenue-led despite a thinner margin.
Pace comparison, last four quarters: profit −17.7% vs revenue −1.6%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.
→ Profit rose — but did the cash follow? Next: 100% of the last 3 years' profit arrived as cash.
Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.
Over the last 3 fiscal years 100% of Natco Pharma Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹1,768 Cr of operating cash against ₹1,418 Cr of profit. After ₹381 Cr of capital spending, ₹1,387 Cr was left as free cash.
FY26: operating cash of ₹1,768 Cr against reported profit of ₹1,418 Cr, leaving free cash of ₹1,387 Cr after ₹381 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 100% of profit.
Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.
Why conversion sits at 100%: the cash cycle tightened 196 days between FY21 and FY26 — cash that used to wait in the cycle now reaches the bank sooner.
Router verdict: the bigger cash user is investment — capital spending ran 2.0× depreciation over three years, so the next section's job is to check what that build-out is buying.
→ So follow the cash to where it goes. Next: ₹1,235 Cr of building over 3 years.
Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).
Natco Pharma Ltd's cash conversion cycle runs 343 days in FY26, down from 539 days in FY21. Capital spending ran ₹1,235 Cr over the last 3 years. At FY26 sales of ₹4,078 Cr each day of that cycle holds about ₹11.2 Cr, so roughly ₹3,832 Cr sits inside the business at any moment.
FY26: debtors at 79 days, inventory at 480 days — roughly 15.8 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 343 days, tighter than FY21's 539.
The full loop: cash goes out to suppliers and production on day 0; stock waits 480 days to sell; customers pay about 79 days after that; and suppliers themselves are paid at 216 days — netting out to the 343-day cycle.
In money terms: at FY26 sales of ₹4,078 Cr, each day of the cycle holds about ₹11.2 Cr — so the 343-day loop keeps roughly ₹3,832 Cr sitting inside the business at any moment.
On the investment side: capital spending of ₹1,235 Cr over the last 3 fiscal years against ₹629 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹294 Cr (FY26) — capacity paid for but not yet earning.
The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.
→ Does all this activity actually earn its cost of capital? Next: ROCE is 17% and the ROIC − WACC spread is +4.8 pp.
Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.
Natco Pharma Ltd earns a ROCE of 17% in FY26. That is up from a trough of 4% in FY22. Return on invested capital clears the cost of that capital by +4.8 percentage points, so growth here adds value rather than only size. The wiring behind it is 34.8% net margin on 0.37× asset turns.
FY26 ROCE is 17%, recovered from a FY22 trough of 4% — the full ladder below shows the fall and the climb, undoctored.
Why the return is what it is — the wiring (FY26): 34.8% net margin × 0.37× asset turns × 1.20× balance-sheet leverage ≈ 15.5% on equity. Margin is doing the heavy lifting; leverage is modest — this is an earned return, not a borrowed one.
The capstone test — ROIC − WACC: 16.8% − 12.0% = a +4.8 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Positive but thin — value creation with little room for error.
→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is 0.08.
Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.
Natco Pharma Ltd carries total debt of ₹714 Cr against shareholder equity of ₹9,221 Cr as of Mar 26, a debt-to-equity of 0.08 — effectively unlevered. On the annual view that ratio went from 0.10 in FY22 to 0.08 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.
Mar 26: total debt of ₹714 Cr against shareholder equity of ₹9,221 Cr — a debt-to-equity of 0.08. On the annual view, debt-to-equity went from 0.10 (FY22) to 0.08 (FY26). The returns on this page are earned, not borrowed.
→ Who owns this, and are they adding or leaving? Next: Domestic institutions cut 2.2 points over 8 quarters.
Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.
Domestic institutions cut 2.2 points of Natco Pharma Ltd over 8 quarters, the biggest move on the register. That takes domestic institutions to 5.6% of the company. Foreign institutions moved −0.5 points over the same window, to 17.0%. The register is read on the four disclosed classes only; nothing is inferred between filings.
The register over the last two years — Domestic institutions: −2.2 points over 8 quarters to 5.6%; Foreign institutions: −0.5 points over 8 quarters to 17.0%; Promoters: −0.3 points over 8 quarters to 49.4%.
🚨 Why the register moved: domestic institutions drove it (−2.2 points), alongside foreign institutions (−0.5 points) — distribution into the market’s bid.
→ One last check: does the safety math agree? Next: the balance-sheet safety line.
Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.
Natco Pharma Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.
The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.
| Company | P/E | Mkt cap | Revenue | EPS | ROCE | Stage |
|---|---|---|---|---|---|---|
| Natco Pharma Ltd this page | 11.6× | ₹16,504 Cr | Topping out | |||
| Sun Pharmaceutical Industries Ltd | 37.5× | ₹4.7L Cr | Improving | |||
| Torrent Pharmaceuticals Ltd | 86.1× | ₹1.9L Cr | Consistent | |||
| Cipla Ltd | 31.8× | ₹1.1L Cr | Deteriorating | |||
| Zydus Lifesciences Ltd | 20.4× | ₹1.1L Cr | Consistent | |||
| Lupin Ltd | 19.1× | ₹1.1L Cr | Consistent | |||
| Mankind Pharma Ltd | 51.4× | ₹1L Cr | Turning around | |||
| Dr Reddys Laboratories Ltd | 29.8× | ₹96,130 Cr | Deteriorating | |||
| Aurobindo Pharma Ltd | 25.1× | ₹88,979 Cr | Mixed | |||
| Biocon Ltd | 182.0× | ₹70,672 Cr | Deteriorating | |||
| Alkem Laboratories Ltd | 27.6× | ₹67,357 Cr | Mixed | |||
| Glenmark Pharmaceuticals Ltd | 21.0× | ₹61,858 Cr | No read | |||
| Ipca Laboratories Ltd | 37.9× | ₹44,720 Cr | Consistent | |||
| Ajanta Pharma Ltd | 37.3× | ₹42,097 Cr | Consistent | |||
| J B Chemicals & Pharmaceuticals Ltd | 53.8× | ₹38,677 Cr | Topping out | |||
| Emcure Pharmaceuticals Ltd | 37.7× | ₹35,679 Cr | Mixed | |||
| Wockhardt Ltd | 106.0× | ₹30,048 Cr | No read | |||
| Rubicon Research Ltd | 102.0× | ₹25,141 Cr | No read | |||
| ERIS Lifesciences Ltd | 30.7× | ₹19,409 Cr | Turning around | |||
| Caplin Point Laboratories Ltd | 29.2× | ₹18,753 Cr | Consistent | |||
| Alembic Pharmaceuticals Ltd | 21.4× | ₹15,678 Cr | Turning around | |||
| Corona Remedies Ltd | 64.7× | ₹12,923 Cr | No read | |||
| Marksans Pharma Ltd | 26.7× | ₹11,161 Cr | Consistent | |||
| Akums Drugs & Pharmaceuticals Ltd | 40.3× | ₹10,818 Cr | No read | |||
| Strides Pharma Science Ltd | 16.6× | ₹9,402 Cr | No read | |||
| Suven Life Sciences Ltd | — | ₹8,929 Cr | No read | |||
| FDC Ltd | 22.6× | ₹6,723 Cr | Turning around | |||
| Bliss GVS Pharma Ltd | 37.4× | ₹4,927 Cr | Turning around | |||
| RPG Life Sciences Ltd | 44.3× | ₹4,858 Cr | — | — | — | — |
| Gufic BioSciences Ltd | 59.2× | ₹3,799 Cr | No read | |||
| Kwality Pharmaceuticals Ltd | 42.5× | ₹2,886 Cr | Consistent | |||
| Kwality Pharmaceuticals Ltd | 36.6× | ₹2,483 Cr | Consistent | |||
| Sai Parenterals Ltd | 166.0× | ₹2,366 Cr | — | — | — | — |
| Indoco Remedies Ltd | — | ₹2,247 Cr | No read | |||
| Fredun Pharmaceuticals Ltd | 45.4× | ₹1,480 Cr | — | No read | ||
| Amrutanjan Health Care Ltd | 22.8× | ₹1,472 Cr | Mixed | |||
| Accent Microcell Ltd | 27.1× | ₹1,187 Cr | No read | |||
| Lincoln Pharmaceuticals Ltd | 13.2× | ₹1,162 Cr | Turning around | |||
| Bajaj Healthcare Ltd | 19.3× | ₹1,088 Cr | No read | |||
| Bharat Parenterals Ltd | — | ₹990 Cr | No read |
Frequently asked questions
What is Natco Pharma Ltd's share price today?
Natco Pharma Ltd trades at ₹945, −8.7% over the past year. The company is valued at ₹16,504 Cr. The stock sits at 36% of its 52-week range of ₹803–₹1,199, −2.0% versus its 200-day average. On the tape, the price is in a confirmed uptrend, 16 weeks in. — as of 24 July 2026.
What were Natco Pharma Ltd's latest quarterly results?
Natco Pharma Ltd reported revenue of ₹739 Cr and net profit of ₹269 Cr for the Mar 26 quarter. Revenue fell 39.5% and profit fell 33.7% year on year. Earnings per share were ₹14.96. The operating margin was 17.0%, 28.0 pp lower than a year earlier. — as of 24 July 2026.
What is Natco Pharma Ltd's revenue?
Natco Pharma Ltd reported revenue of ₹739 Cr in the Mar 26 quarter, −39.5% year on year. For the full FY26 fiscal year, revenue was ₹4,078 Cr (−7.9%). Over the last 10 years revenue compounded at 14.6% a year. — as of 24 July 2026.
What is Natco Pharma Ltd's profit?
Natco Pharma Ltd earned ₹269 Cr of net profit in the Mar 26 quarter, −33.7% year on year. Full-year FY26 profit was ₹1,418 Cr. The operating margin ran 17.0% in the latest quarter. — as of 24 July 2026.
What is Natco Pharma Ltd's market cap?
Natco Pharma Ltd's market capitalisation is ₹16,504 Cr at a share price of ₹945. Market cap is the share price multiplied by shares outstanding, so it is restated whenever the price moves. — as of 24 July 2026.
What is Natco Pharma Ltd's P/E ratio?
Natco Pharma Ltd trades at a P/E of 11.6×, at the 13th percentile of its own 10-year range, against a long-run median of 22.9×. This is a comparison with the stock's own history, not a value call — as of 24 July 2026.
Does Natco Pharma Ltd pay a dividend?
Yes — Natco Pharma Ltd's dividend payout was 6% of profit in FY26, and it recorded a payout in each of its last 13 reported fiscal years. This page holds the payout ratio, not a per-share amount. — as of 24 July 2026.
Is Natco Pharma Ltd overvalued?
On its own history, Natco Pharma Ltd looks cheap against its own history: its P/E of 11.6× has been cheaper only 13% of the time in 10 years (long-run median 22.9×). That is a percentile read against the stock's own past, not a price opinion or a direction call. — as of 24 July 2026.
Is Natco Pharma Ltd growing?
Not right now — Natco Pharma Ltd's latest numbers are shrinking: latest-quarter revenue −39.5% year on year, profit −33.7%, and the margin −28.0 pp at 17.0%. The 10-year compound rates are 14.6% (revenue) and 24.7% (profit). The earnings engine currently reads: deteriorating — as of 24 July 2026.
How is Natco Pharma Ltd performing?
Natco Pharma Ltd is in a confirmed uptrend, 16 weeks in. Its latest quarter's revenue fell 39.5% and profit fell 33.7% year on year. Against the NIFTY 500 it has been behind on a trailing-13-week view for 12 weeks. This describes what the data did, not a rating. — as of 24 July 2026.
What stage is Natco Pharma Ltd in?
Deteriorating — revenue, profit and EPS growth are shrinking (revenue growth −7.9% latest against +59.0% at its 12-quarter best), ROCE slipping at 17.9%. The read comes from the last 12 quarters of growth (revenue growth −7.9% latest, profit growth −24.7% latest, eps growth −24.8% latest) plus the ROCE curve, classified by deterministic rules — a trajectory read, not a buy or sell call — as of 24 July 2026.
Is Natco Pharma Ltd in an uptrend?
Yes — the price is in a confirmed uptrend (week 16 of stage 2), trading −2.0% versus its 200-day average and at 36% of its 52-week range. Price stages cycle base → advance → top → decline, and the stage names where this stock sits in that cycle — as of 24 July 2026.
Is Natco Pharma Ltd beating the market?
Not lately — on a trailing-13-week view Natco Pharma Ltd is currently behind the NIFTY 500 (12 weeks and counting; last ahead the week of 2026-05-29), the same metric the week-by-week ribbon on this page draws. Separately, on the cumulative view: over the last 10.4 years the stock moved +124% against the NIFTY 500's +280% — behind the index over the full window. — as of 24 July 2026.
Will Natco Pharma Ltd's share price go up?
This page publishes no price forecast for Natco Pharma Ltd. What it measures instead: the share price is ₹945, the price is in a confirmed uptrend 16 weeks in. Its P/E of 11.6× sits at the 13th percentile of its own 10-year range. — as of 24 July 2026.
Who owns Natco Pharma Ltd?
Promoters hold 49.4% of Natco Pharma Ltd, foreign institutions 17.0%, domestic institutions 5.6% and the public 28.0% (latest quarter). The biggest move on the register over the last two years: Domestic institutions cut 2.2 points over 8 quarters. — as of 24 July 2026.
Does Natco Pharma Ltd have too much debt?
No — Natco Pharma Ltd's debt-to-equity is 0.08, and operating profit covers the interest bill 39×. FY26 borrowings were ₹714 Cr against equity of ₹9,221 Cr. The returns on this page are earned, not borrowed — as of 24 July 2026.
What is Natco Pharma Ltd's capex?
Natco Pharma Ltd spent ₹1,235 Cr on capital expenditure over the last 3 fiscal years, a figure derived from the change in fixed assets plus depreciation. In FY26 alone that was ₹381 Cr, with ₹294 Cr in capital work-in-progress — capacity paid for but not yet earning. — as of 24 July 2026.
What is Natco Pharma Ltd's cash flow?
Natco Pharma Ltd generated ₹1,768 Cr of operating cash flow in FY26 and ₹1,387 Cr of free cash flow after ₹381 Cr of capital spending. Reported profit that year was ₹1,418 Cr, so operating cash ran ahead of profit. Cash-flow resolution for India is annual. — as of 24 July 2026.
Is Natco Pharma Ltd's profit real cash?
Yes — over the last 3 fiscal years, 100% of Natco Pharma Ltd's reported profit arrived as operating cash. In FY26, operating cash was ₹1,768 Cr against reported profit of ₹1,418 Cr. The cash then goes mostly into building capacity. Cash-flow resolution is annual — as of 24 July 2026.
Where is Natco Pharma Ltd in its business cycle?
Natco Pharma Ltd's FY26 operating margin was 35.0%, against a 13-year band of 14.0%–50.0%: mid-band by its own history — neither the peak that precedes mean-reversion nor the trough that precedes recovery. The latest quarter ran 17.0%. Profitability versus a company's own long band is the cleanest cycle clock this page holds — as of 24 July 2026.
What could break the Natco Pharma Ltd story?
The sharpest disagreement: the P/E sits at the 13th percentile of its own range, but the engine is deteriorating — cheap for a reason until the quarters turn. Mechanically, two Friday closes in a row below the 200-day average would end the price trend — that is the exit rule this page tracks — as of 24 July 2026.
Is Natco Pharma Ltd a stock worth studying right now?
This is not investment advice. The machine read: Natco Pharma Ltd is cheap for a reason. The P/E sits at the 13th percentile of its own range, and the quarters are still getting worse. The sharpest open question: whether the quarters turn before the discount closes. Every number on this page is drawn deterministically from the raw series, with no forecasts and no price opinions — as of 24 July 2026.