In Week of Mar 28, 2026, Novartis India Ltd (Pharma - MNC bulk Drugs) is outperforming Nifty 500 with +36.4% relative strength. Fundamentals: Weak. On a 6-week streak.
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
Based on Q3 FY26 earnings • Updated Feb 22, 2026
What: Priority brands and launches offsetting generic erosion with strong growth in Kisqali and Scemblix
Impact: +₹4.65 Cr revenue
“Novartis Q3 2025 global results showing 68% and 95% growth for Kisqali and Scemblix”
What: Addressing deteriorating debtors turnover ratio (7.28x in H1 FY26)
Impact: +₹1.86 Cr revenue
“MarketScreener analysis noting debtors turnover ratio at lowest level”
Earnings deceleration risks from management commentary
Trigger: Continued operational inefficiencies
Impact: -500 bps margin impact
Management view: Operating margin of 26.03% represents significant compression from 31.11% achieved one quarter earlier
Monitor: QoQ OPM trend
Trigger: Continued decline in debtors turnover
Impact: -200 bps margin impact
Management view: Not directly addressed by management
Monitor: Debtors turnover ratio
Key quotes from recent conference calls
“The priority brands and launches continue to offset the increasing generic erosions, mainly for Entresto, Tasigna, and Promacta in the U.S. — Vas, Executive”
“We delivered strong pipeline progress in the quarter — Vas, Executive”
“Sales were up 7% versus prior year. Core operating income was also up 7% with our core margin at 39.3%. — Novartis Global Q3 2025 call”
“Novartis reaffirms FY 2025 guidance of high single-digit sales growth — Novartis Global press release”
Forward-looking targets from management for FY2025
Revenue Growth Target
8%
Key Milestones
• High single-digit sales growth for full year 2025
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | -7% | -4% | Inflection Down |
| PAT (Net Profit) | -36% | +19% | Inflection Down |
| OPM | 26.0% | -200 bps | Volatile |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Feb 22, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Novartis India Ltd's latest quarterly results (Dec 2025) show
Novartis India Ltd's profit is declining with an inflecting downward trend.
Novartis India Ltd's revenue growth trend is inflecting downward.
Novartis India Ltd's operating margin is volatile.
Novartis India Ltd's long-term compounding rates
Novartis India Ltd's earnings growth is inflecting downward with negative momentum on a sequential basis.
Novartis India Ltd's trailing twelve month (TTM) performance
Novartis India Ltd appears significantly overvalued based on our fair value analysis.
Novartis India Ltd's current PE ratio is 24.9x.
Novartis India Ltd's current PE is 24.9x.
Novartis India Ltd's price-to-book ratio is 3.1x.
Novartis India Ltd is rated Weak with a fundamental score of 32/100. This score is calculated from objective financial metrics
Novartis India Ltd has a debt-to-equity ratio of N/A.
Novartis India Ltd's return ratios over recent years
Novartis India Ltd's operating cash flow is positive (FY2025).
Novartis India Ltd's current dividend yield is 2.55%.
Novartis India Ltd's shareholding pattern (Dec 2025)
Novartis India Ltd's promoter holding has remained stable recently.
Novartis India Ltd has been outperforming Nifty 500 for 6 consecutive weeks, indicating building momentum.
Novartis India Ltd is an established outperformer with 6 weeks of consecutive Nifty 500 outperformance.
Novartis India Ltd has 2 key growth catalysts identified from recent earnings analysis
Novartis India Ltd has 2 key risks worth monitoring
In Q3 FY26, Novartis India Ltd's management highlighted
Novartis India Ltd's management has provided the following forward guidance for FY2025
Based on quantitative research signals, here is why Novartis India Ltd may be worth studying
Novartis India Ltd investment thesis summary:
Novartis India Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
