Sector Alpha Week of 2026-08-14
Sector Alpha — machine-written from the numbers · Data as of 2026-08-14

Ajanta Pharma Ltd

AJANTPHARM
Pharma - Formulators

Ajanta Pharma Ltd is strength at full price. The numbers are improving — and a P/E at the 95th percentile of its own range says the market knows.

The sharpest disagreement: the engine is strong, but at the 95th percentile of its own range you are paying full price for it.

The price is in a confirmed uptrend (32 weeks in) while the P/E sits at the 95th percentile of its own 11-year range. Underneath, the last four quarters read improving — profit +31.0% year on year, and 89% of the last 3 years' profit arrived as cash. What settles it: whether the earnings grow into the multiple.

Stage
Consistent
fundamental trajectory, 12 quarters
Price
₹3,673
+36.7% 1Y
P/E
40.4×
95th pctile
of its own 11-year range
Revenue (Jun 26)
₹1,626 Cr
+24.8% YoY
Profit (Jun 26)
₹334 Cr
+31.0% YoY
Operating margin
26.0%
−1.0 pp YoY
ROCE
35%
FY26
ROIC
25.8%
vs WACC 12.0% → +13.8 pp
Cash conversion
89%
of profit, last 3 FY
01 · Price story

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.

Ajanta Pharma Ltd trades at ₹3,673, in a confirmed uptrend and 32 weeks into that stage. That is +21.5% against its own 200-day average. It sits at 100% of a 52-week range of ₹2,402 to ₹3,673. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 14 straight weeks.

Today the stock is in a confirmed uptrend — week 32 of stage 2, confirmed. At ₹3,673 it trades +21.5% versus its 200-day average and sits at 100% of its 52-week range (₹2,402–₹3,673).

Aug 26: ₹3,673 Weekly closing price (₹) with 50- and 200-day averages; shaded bands mark the price stage (grey base, green advance, amber top, red decline). 3-year window.
+21.5% versus the 200-day line, week 32 of stage 2
Price50-day avg200-day avg
S2S4S4S2₹3,858₹3,186₹2,514₹1,842₹1,170₹3,673₹3,022Aug 23May 24Feb 25Dec 25Aug 26
S2S4S4S2₹3,858₹3,186₹2,514₹1,842₹1,170₹3,673₹3,022Aug 23Feb 25Aug 26
Beating or trailing, week by week since 2016 Each cell is one week from 2016 to now (552 weeks): the stock's trailing 13-week return minus the NIFTY 500's, green ahead / red behind (±25% ramp). Grey cells are the 13-week warm-up or weeks where the NIFTY 500 reading is not held.
trailing 13-week return vs the NIFTY 500
Feb 16Aug 26

Against the market, two honest reads. Cumulative: over the last 10.5 years the stock moved +328% while the NIFTY 500 moved +284% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 14 straight weeks — 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.

02 · Story check

Story check

Ajanta Pharma Ltd's story is not scored yet against the markers our research file set on 19 July 2026. Where it sits in its own cycle: Not stated in the research file. Our fortnightly research layers last read it on 19 July 2026.

NOT YET CHECKED

Our read, 19 July 2026. Ajanta has delivered higher revenue, profit, and return on capital, but the next phase depends on a normalization in the United States portfolio, working-capital recovery, and an explanation for the promoter stake reduction.

What is proven. Ajanta has delivered higher revenue, profit, and return on capital, but the next phase depends on a normalization in the United States portfolio, working-capital recovery, and an explanation for the promoter stake reduction.

What is not proven yet. The thesis fails if operating delivery and cash conversion both weaken while the promoter stake continues to fall without disclosure, because that would turn the current growth record into a lower-quality earnings outcome.

🚨 What would change our mind. The thesis fails if operating delivery and cash conversion both weaken while the promoter stake continues to fall without disclosure, because that would turn the current growth record into a lower-quality earnings outcome.

Layer 1 read, 19 July 2026 — KEEP. Excellent-quality compounder, but the multiple is near its ceiling on only GDP-plus growth — the easy move is behind it. Ajanta earns a 35% return on capital and grew profit to Rs 1,056cr, and the reverse-DCF calls today's price JUSTIFIED rather than a bubble. But growth is now only GDP-plus and the PE sits at the 91st percentile of its 10-year range, so this is a mature holding whose re-rating is largely spent — and the promoter has been quietly trimming its stake with no explanation.

What would change Layer 1’s mind. A re-acceleration in earnings (a genuine new growth leg with the multiple still supported) would raise the innings/rank; operating delivery and cash conversion both weakening while the promoter stake keeps falling without disclosure would turn the growth record into a lower-quality outcome and break the hold thesis.

Layer 2 read, 19 July 2026 — BENCH. Great compounder, but bought at cycle-high margins and 91st-percentile PE with no new catalyst — hold, don't advance. Ajanta keeps compounding — revenue 4,648->5,453cr and profit up, ROCE 35% — and the pharma-formulator sector wind is a net TAILWIND on defensive domestic growth plus a weak rupee. But the valuation cushion is gone: the sector timeline itself reads MIXED with 'the margin of safety is gone' on RISING (not trough) margins, which confirms the stock's own EXTREME MoS and 91st-percentile PE rather than excusing it. With only GDP-plus growth, an undisclosed promoter-stake cut and US base growth guided to slow, there is no fresh external reason to pay up here now.

What would change Layer 2’s mind. A disclosed, credited external catalyst that re-underwrites the 91st-pctile multiple — specifically a US generics/CDMO ramp or a large new-product approval that lifts growth well above GDP-plus while OCF re-converges to PAT — would flip BENCH->ADVANCE. Conversely a disclosed reason for the promoter-stake reduction being negative would push toward DROP.

The test written in advance. The thesis fails if operating delivery and cash conversion both weaken while the promoter stake continues to fall without disclosure, because that would turn the current growth record into a lower-quality earnings outcome. — the thesis as written as stated by the next result.

The test written in advance. Cash-conversion risk — Cash-conversion risk Operating cash remains below profit and debtor days rise again. by the next result.

The test written in advance. Promoter-ownership risk — Promoter-ownership risk Another promoter stake reduction without a contemporaneous explanation. by the next result.

What the company does. Annual and latest-quarter operating delivery improved, while management attributes part of the margin bridge to operating leverage and part to foreign-exchange movements. The latest operating-cash shortfall is a working-capital issue against a better multi-year cash record, and management has explained the earlier receivable change through a factoring-model change. The valuation remains demanding even after margin normalization, while the ownership change lacks management commentary and caps conviction.

The dials — and the exact level that would change the read
DialNowWasWhy it mattersWatch line
Portfolio-led revenue growthMEDReported growth reflects broader revenue and profit delivery, supported by launches and mix.Revenue growth decelerates while new launches and established products do not offset the prior seasonal mix.
Asia logistics normalizationLOWA cleared logistics disruption can restore Asia revenue if underlying demand remains intact.Asia revenue remains weak after logistics have normalized.
Working-capital recoveryMEDCash conversion can recover if the latest working-capital absorption does not repeat.Operating cash remains below profit while debtor days and working-capital days continue to rise.
Everything further down this page is evidence for or against these.

🚨 What the surface reading misses. The surface reading is: The latest annual result shows a larger revenue and profit base. The research reads it further: The annual progress is accompanied by improved operating profit and a larger latest quarter, though the segment mix and foreign-exchange bridge matter for repeatability.

🚨 What the surface reading misses. The surface reading is: The latest quarter shows higher revenue and profit than the comparable period. The research reads it further: Operating profit increased with revenue, while margin fell and other income rose; the profit outcome therefore combines operating delivery with a below-line foreign-exchange bridge.

1 · Operating leverageBUILDING
2 · Value-added mixBUILDING
3 · Management changeBUILDING
4 · Paying down debtQUIET
5 · Regulatory approvalQUIET
6 · Order-book winsQUIET
7 · ConsolidationQUIET
8 · Demerger or value unlockQUIET
9 · BuybackQUIET
10 · New geographiesQUIET
11 · Selling more to existing customersQUIET
12 · New product launchQUIET
13 · Mandatory normsQUIET
14 · A bigger market to sell intoQUIET
15 · Market-share gainsQUIET
16 · Asset qualityQUIET

Lever 1 · Operating leverage — BUILDING. Reported growth reflects broader revenue and profit delivery, supported by launches and mix. What proves it keeps working: Portfolio-led revenue growth. It stops working if Revenue growth decelerates while new launches and established products do not offset the prior seasonal mix.

Lever 2 · Value-added mix — BUILDING. A cleared logistics disruption can restore Asia revenue if underlying demand remains intact. What proves it keeps working: Asia logistics normalization. It stops working if Asia revenue remains weak after logistics have normalized.

Lever 3 · Management change — BUILDING. Cash conversion can recover if the latest working-capital absorption does not repeat. What proves it keeps working: Working-capital recovery. It stops working if Operating cash remains below profit while debtor days and working-capital days continue to rise.

Sources: our stock research file (19 July 2026) · quarterly results through Jun 26 · the company’s own earnings calls. The story check is re-scored every results season; the record below never changes.

The whole page in one table — every row jumps to its section
SectionWhere it is nowVs a year agoThe one thing to watch nextRead
Margin23%Portfolio-led revenue growth
Ownershipsee the sectionWorking-capital recovery
03 · Revenue

Revenue Revenue is the top line: everything the company billed its customers in the period.

Ajanta Pharma Ltd reported ₹1,626 Cr of revenue in the Jun 26 quarter, +24.8% year on year. That is the 12th straight quarter of year-on-year growth. Over 10 years it has compounded at 12.0% a year. The last full year, FY26, came in at ₹5,453 Cr. The last four reported quarters add to ₹5,777 Cr.

FY26 revenue came in at ₹5,453 Cr (+17.3% on the year), capping 10 years at 12.0% compound. The latest quarter (Jun 26) printed ₹1,626 Cr, +24.8% year on year — the 12th consecutive quarter of year-over-year growth.

FY26 revenue ₹5,453 Cr (+17.3% YoY) Revenue bars, ₹ Cr (left); YoY growth-% line (right). 11-year window. A bar is red when it is lower than the year before.
12.0% a year over 10 years
RevenueYoY growth
5.9k28%4.4k20%2.9k11%1.5k2.8%0−5.6%₹ Cr%₹5,45317.3%FY16FY21FY26
5.9k28%4.4k20%2.9k11%1.5k2.8%0−5.6%₹ Cr%₹5,45317.3%FY16FY21FY26
Jun 26: ₹1,626 Cr (+24.8% YoY) Quarterly revenue bars, ₹ Cr (left); YoY growth-% line (right). Last 12 quarters. A bar is red when it is lower than the quarter before.
12th straight quarter of growth
Revenue (quarterly)YoY growth
1.8k26%1.3k20%87814%4398.1%02.0%₹ Cr%₹1,62624.8%Sep 23Dec 24Jun 26
1.8k26%1.3k20%87814%4398.1%02.0%₹ Cr%₹1,62624.8%Sep 23Dec 24Jun 26

Pace check: the last four quarters averaged +20.1% growth against the decade's 12.0% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +20.2% over the last 4 quarters against +15.5%/yr over the last 8 — accelerating; TTM profit +22.2% vs +15.3%/yr — accelerating.

FY26-Q3. The reported sequence shows growing revenue and profit before the latest-quarter margin movement. The next result must establish whether the foreign-exchange effect was temporary and whether planned investment can coexist with the guided margin range.

FY26-Q4. The latest quarter extends the annual revenue and profit progression. It also contains a higher other-income line and a lower operating margin than the comparable period. Management identifies a hedge-related foreign-exchange bridge, which avoids treating every movement as core operating change.

Why-sources: our stock research file (19 July 2026) and the company’s own results for those quarters.

04 · Operating margin

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.

Ajanta Pharma Ltd's operating margin is 26.0% in the Jun 26 quarter, −1.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 22.0% to 35.0%. The current quarter sits inside that band.

Why this happened. The annual and quarterly facts show operating progress. Management says that the United States result included launches and seasonal mix, making repeatability of the base business more important than the headline growth rate.

The latest quarter's operating margin is 26.0%, −1.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 22.0%–35.0%.

🚨 Why the margin moved: operating margin went −0.9 pp year on year while gross margin went +1.0 pp — the loss came mostly from the gross line: input costs and pricing.

FY26: 28.0% Operating margin by fiscal year, %, line (left); year-on-year change in the margin, in percentage points, line (right). 13-year window.
within a 22.0–35.0% band over 13 years
operating marginYoY change (pp)
36%10%32%5.6%29%1.0%25%−3.6%21%−8.3%%%28%1%FY14FY20FY26
36%10%32%5.6%29%1.0%25%−3.6%21%−8.3%%%28%1%FY14FY20FY26
Jun 26: 26.0% operating margin (−1.0 pp YoY) Quarterly operating margin, %, line (left); year-on-year change in the margin, in percentage points, line (right). Last 12 quarters. Operating profit as a share of revenue, per quarter.
Operating marginYoY change (pp)
29%12%28%8.3%26%4.5%24%0.7%23%−3.0%%%26%−1%Sep 23Dec 24Jun 26
29%12%28%8.3%26%4.5%24%0.7%23%−3.0%%%26%−1%Sep 23Dec 24Jun 26

FY26-Q3. The reported sequence shows growing revenue and profit before the latest-quarter margin movement. The next result must establish whether the foreign-exchange effect was temporary and whether planned investment can coexist with the guided margin range.

FY26-Q4. The latest quarter extends the annual revenue and profit progression. It also contains a higher other-income line and a lower operating margin than the comparable period. Management identifies a hedge-related foreign-exchange bridge, which avoids treating every movement as core operating change.

Why-sources: our stock research file (19 July 2026) and the company’s own results for those quarters.

Watch next
MetricPortfolio-led revenue growth
ThresholdRevenue growth decelerates while new launches and established products do not offset the prior seasonal mix.
Which resultthe next result
05 · Net profit

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Ajanta Pharma Ltd earned ₹334 Cr of net profit in the Jun 26 quarter, +31.0% year on year. It is the 12th consecutive quarter of growth. Full-year FY26 profit was ₹1,056 Cr. The 10-year compound rate is 9.8%. That is 20.5% of the quarter's revenue. The same quarter a year earlier earned ₹255 Cr.

Jun 26 profit was ₹334 Cr, +31.0% year on year — the 12th consecutive quarter of growth. On the full year, FY26 printed ₹1,056 Cr (+14.8%), and the 10-year compound rate is 9.8%.

FY26 profit ₹1,056 Cr (+14.8% YoY) Net profit bars, ₹ Cr (left); YoY growth-% line (right). 11-year window. A bar is red when it is lower than the year before.
9.8% a year over 10 years
Net profitYoY growth
1.1k44%85528%57011%285−5.5%0−22%₹ Cr%₹1,05614.8%FY16FY21FY26
1.1k44%85528%57011%285−5.5%0−22%₹ Cr%₹1,05614.8%FY16FY21FY26
Jun 26: ₹334 Cr (+31.0% YoY) Quarterly net profit bars, ₹ Cr (left); YoY growth-% line (right). Last 12 quarters. A bar is red when it is lower than the quarter before.
12th straight quarter of growth
Net profit (quarterly)YoY growth
36171%27153%18035%9017%0−1.3%₹ Cr%₹33431%Sep 23Dec 24Jun 26
36171%27153%18035%9017%0−1.3%₹ Cr%₹33431%Sep 23Dec 24Jun 26

Why profit moved: revenue contributed +24.8% and the margin −1.0 pp — the quarter was revenue-led, with the margin roughly flat.

Pace comparison, last four quarters: profit +21.9% vs revenue +20.1%. Profit and revenue are moving roughly in step.

FY26-Q3. The reported sequence shows growing revenue and profit before the latest-quarter margin movement. The next result must establish whether the foreign-exchange effect was temporary and whether planned investment can coexist with the guided margin range.

FY26-Q4. The latest quarter extends the annual revenue and profit progression. It also contains a higher other-income line and a lower operating margin than the comparable period. Management identifies a hedge-related foreign-exchange bridge, which avoids treating every movement as core operating change.

Why-sources: our stock research file (19 July 2026) and the company’s own results for those quarters.

06 · Cash flow — the router

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 89% of Ajanta Pharma Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹529 Cr of operating cash against ₹1,056 Cr of profit. After ₹360 Cr of capital spending, ₹169 Cr was left as free cash.

FY26: operating cash of ₹529 Cr against reported profit of ₹1,056 Cr, leaving free cash of ₹169 Cr after ₹360 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 89% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

FY26: CFO ₹529 Cr vs profit ₹1,056 Cr Operating cash flow and net profit by fiscal year, ₹ Cr; the line is free cash flow (CFO minus capital spending). 11-year window, annual resolution.
89% of 3-year profit arrived as cash
Operating cashNet profitFree cash
1.3k909567225−117₹ Cr₹529₹1,056₹169FY16FY21FY26
1.3k909567225−117₹ Cr₹529₹1,056₹169FY16FY21FY26
FY26: CFO = 50% of profit (three-year rate 89%) Operating cash as a share of net profit, per fiscal year, % (line). Dashed line = 100% — every unit of profit arriving as cash.
Conversion100%
142%117%93%68%43%%50%FY16FY21FY26
142%117%93%68%43%%50%FY16FY21FY26

Why conversion sits at 89%: the cash cycle tightened 69 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 1.9× depreciation over three years, so the next section's job is to check what that build-out is buying.

07 · Where the cash goes

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).

Ajanta Pharma Ltd's cash conversion cycle runs 246 days in FY26, down from 315 days in FY21. Capital spending ran ₹872 Cr over the last 3 years. At FY26 sales of ₹5,453 Cr each day of that cycle holds about ₹14.9 Cr, so roughly ₹3,675 Cr sits inside the business at any moment.

FY26: debtors at 124 days, inventory at 289 days — roughly 9.5 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 246 days, tighter than FY21's 315.

The full loop: cash goes out to suppliers and production on day 0; stock waits 289 days to sell; customers pay about 124 days after that; and suppliers themselves are paid at 168 days — netting out to the 246-day cycle.

In money terms: at FY26 sales of ₹5,453 Cr, each day of the cycle holds about ₹14.9 Cr — so the 246-day loop keeps roughly ₹3,675 Cr sitting inside the business at any moment.

FY26: a 246-day cash cycle Debtor days, inventory days, payable days and the cash conversion cycle by fiscal year. 13-year window.
−69 days vs FY21
Cash cycleInventory daysDebtor daysPayable days
46435524713829days246d289d124d168dFY14FY17FY20FY23FY26
46435524713829days246d289d124d168dFY14FY20FY26

On the investment side: capital spending of ₹872 Cr over the last 3 fiscal years against ₹452 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹258 Cr (FY26) — capacity paid for but not yet earning.

FY26: capex ₹360 Cr, work-in-progress ₹258 Cr Capital spending per fiscal year, ₹ Cr (bars); capital work-in-progress, ₹ Cr (line). Quarterly capital-spending history is not held for India — annual is the honest resolution.
a build-out
CapexWork-in-progress
4303222151070₹ Cr₹360₹258FY16FY18FY21FY23FY26
4303222151070₹ Cr₹360₹258FY16FY21FY26

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

08 · Return on capital

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.

Ajanta Pharma Ltd earns a ROCE of 35% in FY26. That is up from a trough of 23% in FY23. Return on invested capital clears the cost of that capital by +13.8 percentage points, so growth here adds value rather than only size. The wiring behind it is 19.4% net margin on 0.90× asset turns.

FY26 ROCE is 35%, recovered from a FY23 trough of 23% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 19.4% net margin × 0.90× asset turns × 1.33× balance-sheet leverage ≈ 23.2% 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: 25.8% − 12.0% = a +13.8 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. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

FY26: ROCE 35% Return on capital employed by fiscal year, % (line); ROIC by fiscal year, % (line). 13-year window, dips included. Dashed line = the 12.0% cost of capital used on this page.
the climb back from FY23's 23%
ROCEROIC (annual)WACC
61%48%35%21%8.4%%35%27.6%FY14FY20FY26
61%48%35%21%8.4%%35%27.6%FY14FY20FY26
Q4 FY26: ROCE 28.1% (TTM) vs WACC 12.0% Trailing-twelve-month ROCE and ROIC, per quarter, %; dashed line = the cost of capital. Last 12 quarters, put on a trailing-twelve-month basis and anchored to the annual figure.
ROCE (TTM)ROIC (TTM)WACC
31%26%21%16%11%%28.1%29.3%Q1 FY24Q2 FY25Q4 FY26
31%26%21%16%11%%28.1%29.3%Q1 FY24Q2 FY25Q4 FY26
09 · Debt

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.

Ajanta Pharma Ltd carries total debt of ₹260 Cr against shareholder equity of ₹4,527 Cr as of Mar 26, a debt-to-equity of 0.06 — effectively unlevered. On the annual view that ratio went from 0.01 in FY22 to 0.06 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Mar 26: total debt of ₹260 Cr against shareholder equity of ₹4,527 Cr — a debt-to-equity of 0.06. On the annual view, debt-to-equity went from 0.01 (FY22) to 0.06 (FY26). The returns on this page are earned, not borrowed.

FY26: debt ₹260 Cr at 0.06× equity Total debt by fiscal year, ₹ Cr (bars); debt-to-equity, × (line). 5-year window.
Total debtDebt-to-equity
2810.06×2110.05×1400.04×700.02×00.01×₹ Cr×₹2600.06×FY22FY24FY26
2810.06×2110.05×1400.04×700.02×00.01×₹ Cr×₹2600.06×FY22FY24FY26
Mar 26: debt ₹260 Cr, debt-to-equity 0.06 Total debt per quarter, ₹ Cr (bars); debt-to-equity, × (line). Last 12 quarters. India reports the full balance sheet half-yearly, so the intervening quarter carries the prior reading forward.
Total debt (quarterly)Debt-to-equity
2810.06×2110.05×1400.04×700.02×00.01×₹ Cr×₹2600.06×Jun 23Sep 24Mar 26
2810.06×2110.05×1400.04×700.02×00.01×₹ Cr×₹2600.06×Jun 23Sep 24Mar 26
10 · Ownership

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 added 4.4 points of Ajanta Pharma Ltd over 8 quarters, the biggest move on the register. That takes domestic institutions to 21.8% of the company. Promoters moved −2.8 points over the same window, to 63.5%. The register is read on the four disclosed classes only; nothing is inferred between filings.

Why this happened. The latest cash conversion is weak despite a better multi-year record. The earlier receivable change had a stated financing rationale, but the latest cash absorption requires subsequent confirmation.

The register over the last two years — Domestic institutions: +4.4 points over 8 quarters to 21.8%; Promoters: −2.8 points over 8 quarters to 63.5%; Foreign institutions: −0.7 points over 8 quarters to 7.7%.

Why the register moved: domestic institutions drove it (+4.4 points), absorbed on the other side by promoters (−2.8 points) — steady accumulation by institutions reading the same numbers this page reads.

Fiscal-year ends: promoters +0.0 pts from Mar 24 to Mar 26 Shareholding at each fiscal-year end (March quarter), % of the company. 3 year-ends held.
PromotersForeign inst.Domestic inst.Public
71%54%37%20%2.4%%66.3%8.3%18.4%7.1%Mar 24Mar 25Mar 26
71%54%37%20%2.4%%66.3%8.3%18.4%7.1%Mar 24Mar 25Mar 26
Domestic institutions added 4.4 points over 8 quarters Shareholding by holder class, % of the company, quarterly, last 13 quarters.
PromotersForeign inst.Domestic inst.Public
71%54%37%19%2.3%%63.5%7.7%21.8%7.0%Jun 23Dec 24Jun 26
71%54%37%19%2.3%%63.5%7.7%21.8%7.0%Jun 23Dec 24Jun 26
Watch next
MetricWorking-capital recovery
ThresholdOperating cash remains below profit while debtor days and working-capital days continue to rise.
Which resultthe next result
11 · 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.

Ajanta 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.

12 · Valuation

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.

Ajanta Pharma Ltd trades at 40.4× P/E, at the pricey end of its own range (95th percentile). Its long-run median P/E is 28.1×, measured across 10.5 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 40.4× is at the pricey end of its own range (95th percentile), against a long-run median of 28.1× measured over 10.5 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

P/E 40.4× vs a 28.1× long-run median P/E, weekly (left axis); earnings per share, trailing twelve months, weekly (right axis). 10.5-year window; loss-period spikes above 45× shown pinned at the top. The eps (ttm) bars are red where the reading is lower than the quarter before.
at the pricey end of its own range (95th percentile)
P/EMedianEPS (TTM) (quarterly)
46.7×₹98.239.1×₹73.631.5×₹49.123.8×₹24.516.2×₹0.0×40.40×₹91Feb 16Oct 18Jun 21Jan 24Aug 26
46.7×₹98.239.1×₹73.631.5×₹49.123.8×₹24.516.2×₹0.0×40.40×₹91Feb 16Jun 21Aug 26
PEG 1.79 PEG ratio per quarter — the P/E divided by the earnings-growth rate. The dashed line marks 1.0: below it the growth is cheap against the multiple, above it the price already prices the growth in. Last 20 quarters.
above 1.0, the multiple already banks the growth
PEGPEG = 1.0
4.1×3.2×2.4×1.6×0.8××1.79×Q1 FY22Q1 FY23Q2 FY24Q3 FY25Q4 FY26
4.1×3.2×2.4×1.6×0.8××1.79×Q1 FY22Q2 FY24Q4 FY26
P/E
40.4×
95th percentile of 11y
PEG
2.50
derived from 3-year earnings growth

Why the multiple sits where it does: over the past year annual EPS moved +14.7% against a +36.7% price move — the price outran earnings, pushing the multiple UP its own range.

The price move, decomposed: over 5y, of the +19.6%/yr price move, ~+11.7%/yr came from earnings growth and ~+7.9 pp from the multiple (expanding); over 10y, of the +11.2%/yr price move, ~+10.4%/yr came from earnings growth and ~+0.8 pp from the multiple (roughly flat). 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 full against its own past, so the story rests on the earnings line underneath it, not the multiple.

13 · Stage: Consistent

Stage: Consistent 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).

Ajanta Pharma Ltd reads as consistent on its fundamental arc. Consistent — revenue, profit and EPS growth have stayed positive through the window, with ROCE at 31.8% and holding. The read is built from 12 quarters across 4 curves, on full evidence.

Growth, year by year: revenue +17.3% in FY26, profit +14.8% Year-over-year growth per fiscal year, %: revenue (left axis); net profit and EPS (right axis — profit growth swings far wider). Zero line drawn.
Revenue YoYProfit YoYEPS YoY
28%46%20%29%11%12%2.8%−5.2%−5.6%−22%%%17.3%14.8%FY16FY21FY26
28%46%20%29%11%12%2.8%−5.2%−5.6%−22%%%17.3%14.8%FY16FY21FY26
Three growth curves, twelve quarters Year-on-year growth of trailing-twelve-month revenue (left axis), profit and EPS (right axis — they swing far wider), % at each quarter-end. A missing point means that reading is not held for the quarter.
the trajectory the stage is read from · revenue accelerating, profit accelerating
RevenueProfitEPS
21%42%18%30%14%18%11%6.4%7.2%−5.5%%%20.2%22.2%22%Sep 23Dec 24Jun 26
21%42%18%30%14%18%11%6.4%7.2%−5.5%%%20.2%22.2%22%Sep 23Dec 24Jun 26
ROCE Trailing-twelve-month operating profit (before interest and tax) as a share of average capital employed — total assets minus current liabilities, the standard textbook basis, %.
the return curve, computed quarterly
ROCE
33%30%28%25%23%%31.8%Sep 23Mar 24Dec 24Sep 25Jun 26
33%30%28%25%23%%31.8%Sep 23Dec 24Jun 26
Revenue growth
Rising
latest +20.2% · span +8.2% to +20.2%
Profit growth
Rising
latest +22.2% · span −2.2% to +38.5%
EPS growth
Steady high
latest +22.0% · span −1.7% to +38.8%
ROCE
Steady high
latest 31.8% · span 23.6%–32.3%

Why it matters: steady curves with healthy returns are the compounding setup — the risk is the price, not the business.

Compound annual growth rate (%) Compound annual growth rate over each window, %. Revenue, profit and EPS from fiscal-year figures; share price is the price CAGR over the same spans. A dash = that window is not held, or the base was a loss.
1yr3yr5yr10yr
Revenue+17.3%+13.4%+13.5%+12.0%
Profit+14.8%+21.6%+10.1%+9.8%
EPS+14.7%+22.6%+10.9%+10.4%
Share price+36.7%+28.6%+19.6%+11.2%
Revenue YoY (Jun 26)
+24.8%
latest quarter vs a year ago
Profit YoY (Jun 26)
+31.0%
latest quarter vs a year ago
Revenue 10y
12.0%
long-run compound pace
14 · 4-Factor Sector Score

4-Factor Sector Score

61.7/100 — rank 10 of 44 in Pharma - Formulators · 100% evidence confidence

Ajanta Pharma Ltd scores 61.7 out of 100 against the 44 companies it is compared with in Pharma - Formulators, ranking 10. Strong business, demanding price: keep it on the quality list, but require either earnings upgrades or valuation compression.

The four contributions add to the total exactly: 21.7 + 19.4 + 5.6 + 15 = 61.7. 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.

15 · Said versus delivered

Said versus delivered

What Ajanta Pharma Ltd's management promised, set against what actually arrived — 4 tracked promises on the record. Read straight from the company’s own earnings calls. A promise that slipped stays on this page after it is met.

US full-year growth outlook materially reduced · 30 July 2026. In the Jan 2026 call, management said US growth for FY '27 should be double-digit, while the Jul 2026 call guided only to mid-single-digit to upper-mid-single-digit growth for the rest of the year. Management cited expected competition, price erosion, and market-share loss, but did not quantify what changed from the earlier double-digit outlook or bridge the impact on earnings.

GLP-1 Asia/Africa launch timeline shifted out · 30 July 2026. In the Jan 2026 call, management expected approvals to begin from 12 months onward and revenue to start in 27-28. In the Jul 2026 call, management instead said the Asia and Africa launches were two years further away, a material timeline change that was not explained.

🚨 US FY2027 Growth Guidance Sharply Downgraded · 5 May 2026. In the Jan 2026 call, management expressly committed to double-digit US generic growth in FY2027, using the phrase 'for sure' even while acknowledging it was early to guide precisely. By the May 2026 call, management revised this to mid-single-digit growth, citing the high FY2026 base - a factor that was already clearly visible in the nine-month trajectory at the time of the January commitment.

FY2027 EBITDA Margin Expansion Promise Reversed · 5 May 2026. In the Jul 2025 call, management responded to a direct question about FY2027 margin expansion with an unequivocal 'Yes. Certainly, certainly,' framed in the context that heavy FY2026 investment costs would normalize. In the May 2026 call, management guided FY2027 margins at 27% plus or minus 1%, using the word 'maintaining' - flat versus FY2026 levels - a clear reversal of the unambiguous expansion commitment made approximately ten months earlier with no explicit acknowledgment of the change.

Every quote above is taken word for word from the company’s own earnings calls.

16 · Related companies · Pharma - Formulators
CompanyScorePrice stageGrowth & earnings/35Capital efficiency/25Valuation/20Relative strength/20
1Kwality Pharmaceuticals Ltd539997 75.3/100Favorable setup82% evidence LEADER 31.2/35 Revenue 35.7% · PAT 71.8% · OPM change 3 pp 95% evidence 17.8/25 ROCE 24.1% · OPM 25% 76% evidence 6.4/20 P/E 43.7× · PEG — 50% evidence 19.9/20 RS sector 85.6% · RS bench 118.9% · 1Y 204.1%12 of 12 weeks ahead 100% evidence
Exact sum: 31.2 + 17.8 + 6.4 + 19.9 = 75.3 · Decision use: Confirmed research leader: earnings, capital efficiency and relative strength agree. Move to management, catalyst and risk diligence.
2Bliss GVS Pharma LtdBLISSGVS 70.0/100Favorable setup82% evidence LEADER 29.2/35 Revenue 20.6% · PAT 25.7% · OPM change 7 pp 95% evidence 14.8/25 ROCE 16.9% · OPM 27% 76% evidence 6.6/20 P/E 40.1× · PEG — 50% evidence 19.4/20 RS sector 68.7% · RS bench 97.8% · 1Y 192.6%12 of 12 weeks ahead 100% evidence
Exact sum: 29.2 + 14.8 + 6.6 + 19.4 = 70 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
3Lupin LtdLUPIN 69.6/100Favorable setup93% evidence ASLEEP 29.9/35 Revenue 28.2% · PAT 49.2% · OPM change 2 pp 100% evidence 19.1/25 ROCE 29.9% · OPM 30% 100% evidence 16.3/20 P/E 17.2× · PEG 0.54 65% evidence 4.3/20 RS sector -18.4% · RS bench -0.2% · 1Y 16.5%0 of 12 weeks ahead 100% evidence
Exact sum: 29.9 + 19.1 + 16.3 + 4.3 = 69.6 · Decision use: Acceleration candidate, not a confirmed leader: earnings are strong but sector-relative strength is -18.4% and the one-year return is 16.5%. Do not upgrade until sector-relative strength is above zero and another reported period confirms growth.
4Glenmark Pharmaceuticals LtdGLENMARK 69.3/100Favorable setup100% evidence ASLEEP 31.0/35 Revenue 32.9% · PAT 100% · OPM change 2 pp 100% evidence 18.1/25 ROCE 39.8% · OPM 20% 100% evidence 12.9/20 P/E 21× · PEG 1.43 100% evidence 7.3/20 RS sector -11.2% · RS bench 8.5% · 1Y 14.8%1 of 12 weeks ahead 100% evidence
Exact sum: 31 + 18.1 + 12.9 + 7.3 = 69.3 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
5Emcure Pharmaceuticals LtdEMCURE 66.3/100Favorable setup75% evidence LEADER 26.8/35 Revenue 18.4% · PAT 32.2% · OPM change 1 pp 95% evidence 18.2/25 ROCE 24% · OPM 21% 76% evidence 9.9/20 P/E 35.6× · PEG — 15% evidence 11.4/20 RS sector 0% · RS bench 21.7% · 1Y 39.4%11 of 12 weeks ahead 100% evidence
Exact sum: 26.8 + 18.2 + 9.9 + 11.4 = 66.3 · Decision use: Confirmed research leader: earnings, capital efficiency and relative strength agree. Move to management, catalyst and risk diligence.
6Corona Remedies LtdCORONA 65.4/100Favorable setup73% evidence BREAKING OUT 23.3/35 Revenue 18% · PAT 19.3% · OPM change 2 pp 100% evidence 20.3/25 ROCE 33.3% · OPM 22% 100% evidence 11.8/20 P/E 61.6× · PEG 1.18 65% evidence 10.0/20 RS sector — · RS bench — · 1Y —9 of 12 weeks ahead 0% evidence
Exact sum: 23.3 + 20.3 + 11.8 + 10 = 65.4 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
7Rubicon Research LtdRUBICON 62.3/100Mixed-positive evidence73% evidence BREAKING OUT 24.4/35 Revenue 46.8% · PAT 91.4% · OPM change 2 pp 100% evidence 21.8/25 ROCE 28.4% · OPM 24% 100% evidence 6.1/20 P/E 93× · PEG 2.46 65% evidence 10.0/20 RS sector — · RS bench — · 1Y —12 of 12 weeks ahead 0% evidence
Exact sum: 24.4 + 21.8 + 6.1 + 10 = 62.3 · Decision use: Strong business, demanding price: keep it on the quality list, but require either earnings upgrades or valuation compression.
8Ipca Laboratories LtdIPCALAB 62.0/100Mixed-positive evidence82% evidence FADING 26.6/35 Revenue 10.6% · PAT 68% · OPM change 6 pp 95% evidence 15.8/25 ROCE 17% · OPM 24% 76% evidence 11.1/20 P/E 32× · PEG — 50% evidence 8.5/20 RS sector -7.6% · RS bench 12.7% · 1Y 25.1%6 of 12 weeks ahead 100% evidence
Exact sum: 26.6 + 15.8 + 11.1 + 8.5 = 62 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
9Accent Microcell LtdACCENTMIC 61.8/100Mixed-positive evidence63% evidence LEADER 17.6/35 Revenue — · PAT — · OPM change -1 pp 26% evidence 17.8/25 ROCE 24.9% · OPM 16% 95% evidence 9.3/20 P/E 31.9× · PEG — 50% evidence 17.1/20 RS sector 27.2% · RS bench 53.2% · 1Y 94.9%12 of 12 weeks ahead 100% evidence
Exact sum: 17.6 + 17.8 + 9.3 + 17.1 = 61.8 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
10Ajanta Pharma Ltdthis pageAJANTPHARM 61.7/100Mixed-positive evidence100% evidence BREAKING OUT 21.7/35 Revenue 20.2% · PAT 22.2% · OPM change -1 pp 100% evidence 19.4/25 ROCE 34.5% · OPM 26% 100% evidence 5.6/20 P/E 40.4× · PEG 2.31 100% evidence 15.0/20 RS sector 3.5% · RS bench 26.1% · 1Y 41%7 of 12 weeks ahead 100% evidence
Exact sum: 21.7 + 19.4 + 5.6 + 15 = 61.7 · Decision use: Strong business, demanding price: keep it on the quality list, but require either earnings upgrades or valuation compression.
11Caplin Point Laboratories LtdCAPLIPOINT 60.7/100Mixed-positive evidence100% evidence LEADER 19.4/35 Revenue 15% · PAT 19.6% · OPM change 0 pp 100% evidence 17.6/25 ROCE 24.6% · OPM 35% 100% evidence 9.8/20 P/E 28.3× · PEG 1.52 100% evidence 13.9/20 RS sector -0.8% · RS bench 20.9% · 1Y 17.5%12 of 12 weeks ahead 100% evidence
Exact sum: 19.4 + 17.6 + 9.8 + 13.9 = 60.7 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
12Marksans Pharma LtdMARKSANS 58.0/100Mixed-positive evidence87% evidence BREAKING OUT 26.3/35 Revenue 19.6% · PAT 48% · OPM change 9 pp 100% evidence 15.6/25 ROCE 18.8% · OPM 25% 100% evidence 6.3/20 P/E 29.2× · PEG 2.85 65% evidence 9.8/20 RS sector -18.1% · RS bench 64.2% · 1Y 57.9%11 of 11 weeks ahead 70% evidence
Exact sum: 26.3 + 15.6 + 6.3 + 9.8 = 58 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
13Wockhardt LtdWOCKPHARMA 55.8/100Mixed-positive evidence74% evidence LEADER 25.1/35 Revenue 18.4% · PAT 100% · OPM change 11 pp 74% evidence 5.2/25 ROCE 7.5% · OPM 21% 100% evidence 8.9/20 P/E 78.8× · PEG — 15% evidence 16.6/20 RS sector 3.4% · RS bench 25.4% · 1Y 31.3%12 of 12 weeks ahead 100% evidence
Exact sum: 25.1 + 5.2 + 8.9 + 16.6 = 55.8 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
14RPG Life Sciences LtdRPGLIFE 53.6/100Mixed-positive evidence93% evidence LEADER 12.0/35 Revenue 11.9% · PAT -34.1% · OPM change 1 pp 100% evidence 17.4/25 ROCE 25.7% · OPM 22% 100% evidence 11.0/20 P/E 39.4× · PEG 1.43 65% evidence 13.2/20 RS sector -1.9% · RS bench 20% · 1Y 18.9%11 of 12 weeks ahead 100% evidence
Exact sum: 12 + 17.4 + 11 + 13.2 = 53.6 · Decision use: Price leads the evidence: RS versus the benchmark is 20%, but earnings trajectory is weak. Wait for revenue and profit confirmation.
15Zydus Lifesciences LtdZYDUSLIFE 52.9/100Mixed-positive evidence100% evidence LEADER 12.0/35 Revenue 21.1% · PAT -2.5% · OPM change -8 pp 100% evidence 16.5/25 ROCE 21.1% · OPM 24% 100% evidence 14.5/20 P/E 23.3× · PEG 1.23 100% evidence 9.9/20 RS sector -7.2% · RS bench 13.4% · 1Y 21.3%12 of 12 weeks ahead 100% evidence
Exact sum: 12 + 16.5 + 14.5 + 9.9 = 52.9 · Decision use: Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.
16Akums Drugs & Pharmaceuticals LtdAKUMS 52.3/100Mixed-positive evidence75% evidence LEADER 13.5/35 Revenue 9.2% · PAT -15.8% · OPM change 2 pp 95% evidence 10.9/25 ROCE 14.9% · OPM 15% 76% evidence 9.7/20 P/E 37.5× · PEG — 15% evidence 18.2/20 RS sector 15.8% · RS bench 40.3% · 1Y 51.3%12 of 12 weeks ahead 100% evidence
Exact sum: 13.5 + 10.9 + 9.7 + 18.2 = 52.3 · Decision use: Price leads the evidence: RS versus the benchmark is 40.3%, but earnings trajectory is weak. Wait for revenue and profit confirmation.
17ERIS Lifesciences LtdERIS 52.0/100Mixed-positive evidence76% evidence ASLEEP 20.7/35 Revenue 9.6% · PAT 62.2% · OPM change -2 pp 95% evidence 14.3/25 ROCE 14.1% · OPM 34% 76% evidence 11.2/20 P/E 28.7× · PEG — 50% evidence 5.8/20 RS sector -13.9% · RS bench -9.8% · 1Y -21.3%0 of 10 weeks ahead 70% evidence
Exact sum: 20.7 + 14.3 + 11.2 + 5.8 = 52 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
18Suven Life Sciences LtdSUVEN 51.2/100Mixed-positive evidence67% evidence LEADER 19.9/35 Revenue 25% · PAT -80% · OPM change -997 pp 74% evidence 2.1/25 ROCE -79.5% · OPM — 84% evidence 10.0/20 P/E — · PEG — 0% evidence 19.2/20 RS sector 33.1% · RS bench 60% · 1Y 36.5%12 of 12 weeks ahead 100% evidence
Exact sum: 19.9 + 2.1 + 10 + 19.2 = 51.2 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
19J B Chemicals & Pharmaceuticals LtdJBCHEPHARM 48.2/100Mixed-negative evidence96% evidence 10.8/35 Revenue 5.9% · PAT 7.4% · OPM change -2 pp 88% evidence 20.6/25 ROCE 25.4% · OPM 22% 100% evidence 4.1/20 P/E 53.8× · PEG 2.34 100% evidence 12.7/20 RS sector 1% · RS bench 23.5% · 1Y 42.5%4 of 8 weeks ahead to 2026-07-19 100% evidence
Exact sum: 10.8 + 20.6 + 4.1 + 12.7 = 48.2 · Decision use: Strong business, demanding price: keep it on the quality list, but require either earnings upgrades or valuation compression.
20Fredun Pharmaceuticals Ltd539730 47.7/100Thin evidence · provisional50% evidence ASLEEP 17.2/35 Revenue — · PAT — · OPM change 0 pp 24% evidence 14.9/25 ROCE 21.3% · OPM 14% 76% evidence 9.1/20 P/E 58.4× · PEG — 15% evidence 6.5/20 RS sector -19% · RS bench 133.6% · 1Y 46.1%0 of 12 weeks ahead 100% evidence
Exact sum: 17.2 + 14.9 + 9.1 + 6.5 = 47.7 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.
21Kilitch Drugs (India) LtdKILITCH 47.4/100Mixed-negative evidence87% evidence BREAKING OUT 14.1/35 Revenue 14% · PAT 9.3% · OPM change -1 pp 95% evidence 8.9/25 ROCE 13.4% · OPM 6.5% 95% evidence 14.1/20 P/E 21.1× · PEG — 50% evidence 10.3/20 RS sector -15.6% · RS bench 3.6% · 1Y -19%11 of 12 weeks ahead 100% evidence
Exact sum: 14.1 + 8.9 + 14.1 + 10.3 = 47.4 · Decision use: Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.
22Lincoln Pharmaceuticals LtdLINCOLN 46.7/100Mixed-negative evidence87% evidence ASLEEP 15.2/35 Revenue 10% · PAT 11.5% · OPM change 0 pp 95% evidence 15.1/25 ROCE 16.3% · OPM 15% 95% evidence 10.1/20 P/E 12.7× · PEG — 50% evidence 6.3/20 RS sector -13.5% · RS bench 5.6% · 1Y 9.1%0 of 12 weeks ahead 100% evidence
Exact sum: 15.2 + 15.1 + 10.1 + 6.3 = 46.7 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
23Alkem Laboratories LtdALKEM 46.7/100Mixed-negative evidence82% evidence ASLEEP 14.9/35 Revenue 13.4% · PAT -5.5% · OPM change -2 pp 95% evidence 17.4/25 ROCE 21.2% · OPM 20% 76% evidence 11.9/20 P/E 28.2× · PEG — 50% evidence 2.5/20 RS sector -22.4% · RS bench -4.6% · 1Y 12.7%1 of 12 weeks ahead 100% evidence
Exact sum: 14.9 + 17.4 + 11.9 + 2.5 = 46.7 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
24Sun Pharmaceutical Industries LtdSUNPHARMA 46.1/100Mixed-negative evidence100% evidence FADING 17.3/35 Revenue 11.4% · PAT 16.5% · OPM change -2 pp 100% evidence 17.1/25 ROCE 20.5% · OPM 29% 100% evidence 4.1/20 P/E 36.7× · PEG 3.8 100% evidence 7.6/20 RS sector -12.1% · RS bench 7.7% · 1Y 21.6%5 of 12 weeks ahead 100% evidence
Exact sum: 17.3 + 17.1 + 4.1 + 7.6 = 46.1 · Decision use: Strong business, demanding price: keep it on the quality list, but require either earnings upgrades or valuation compression.
25Aurobindo Pharma LtdAUROPHARMA 44.8/100Mixed-negative evidence100% evidence FADING 16.8/35 Revenue 9.1% · PAT 9.5% · OPM change 1 pp 100% evidence 12.2/25 ROCE 12.9% · OPM 21% 100% evidence 4.4/20 P/E 24.9× · PEG 2.67 100% evidence 11.4/20 RS sector 1.1% · RS bench 22.8% · 1Y 55.7%10 of 12 weeks ahead 100% evidence
Exact sum: 16.8 + 12.2 + 4.4 + 11.4 = 44.8 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
26Strides Pharma Science LtdSTAR 44.1/100Mixed-negative evidence80% evidence FADING 16.1/35 Revenue 8.1% · PAT 79.1% · OPM change -1 pp 95% evidence 12.9/25 ROCE 18.3% · OPM 18% 95% evidence 11.3/20 P/E 15.4× · PEG — 15% evidence 3.8/20 RS sector -18.3% · RS bench -0.4% · 1Y 20.3%7 of 12 weeks ahead 100% evidence
Exact sum: 16.1 + 12.9 + 11.3 + 3.8 = 44.1 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
27Amrutanjan Health Care LtdAMRUTANJAN 44.0/100Mixed-negative evidence87% evidence ASLEEP 13.5/35 Revenue 10.7% · PAT -1.1% · OPM change -2.9 pp 95% evidence 14.8/25 ROCE 24.8% · OPM 6.1% 95% evidence 14.3/20 P/E 23× · PEG — 50% evidence 1.4/20 RS sector -36.4% · RS bench -21% · 1Y -24.4%0 of 12 weeks ahead 100% evidence
Exact sum: 13.5 + 14.8 + 14.3 + 1.4 = 44 · Decision use: Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.
28Gufic BioSciences LtdGUFICBIO 43.8/100Mixed-negative evidence94% evidence BREAKING OUT 23.5/35 Revenue 16.6% · PAT 17.7% · OPM change 3 pp 100% evidence 9.6/25 ROCE 12.3% · OPM 18% 100% evidence 2.2/20 P/E 57.6× · PEG 4.78 100% evidence 8.5/20 RS sector -18.5% · RS bench 23% · 1Y 16.9%11 of 11 weeks ahead 70% evidence
Exact sum: 23.5 + 9.6 + 2.2 + 8.5 = 43.8 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
29Alembic Pharmaceuticals LtdAPLLTD 42.7/100Mixed-negative evidence94% evidence BREAKING OUT 16.8/35 Revenue 14.1% · PAT 14.6% · OPM change -1 pp 100% evidence 8.2/25 ROCE 12.6% · OPM 15% 100% evidence 12.5/20 P/E 21.9× · PEG 1.74 100% evidence 5.2/20 RS sector -24.1% · RS bench -0.6% · 1Y -11.2%1 of 11 weeks ahead 70% evidence
Exact sum: 16.8 + 8.2 + 12.5 + 5.2 = 42.7 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
30FDC LtdFDC 42.0/100Mixed-negative evidence94% evidence ASLEEP 13.1/35 Revenue 3.5% · PAT 8.2% · OPM change -1 pp 100% evidence 13.5/25 ROCE 16.7% · OPM 21% 100% evidence 11.9/20 P/E 18.7× · PEG 1.98 100% evidence 3.5/20 RS sector -25.2% · RS bench -13.4% · 1Y -25.4%6 of 10 weeks ahead 70% evidence
Exact sum: 13.1 + 13.5 + 11.9 + 3.5 = 42 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
31Mankind Pharma LtdMANKIND 41.8/100Mixed-negative evidence100% evidence ASLEEP 17.0/35 Revenue 14.2% · PAT 8% · OPM change 2 pp 100% evidence 13.7/25 ROCE 13.5% · OPM 26% 100% evidence 5.4/20 P/E 47× · PEG 2.81 100% evidence 5.7/20 RS sector -16.3% · RS bench 2.7% · 1Y -1.7%8 of 12 weeks ahead 100% evidence
Exact sum: 17 + 13.7 + 5.4 + 5.7 = 41.8 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
32Torrent Pharmaceuticals LtdTORNTPHARM 40.4/100Mixed-negative evidence100% evidence BREAKING OUT 16.8/35 Revenue 32.9% · PAT 7.7% · OPM change 2 pp 100% evidence 14.1/25 ROCE 15.2% · OPM 34% 100% evidence 0.8/20 P/E 82.4× · PEG 5.11 100% evidence 8.7/20 RS sector -5.3% · RS bench 15.4% · 1Y 35.5%7 of 12 weeks ahead 100% evidence
Exact sum: 16.8 + 14.1 + 0.8 + 8.7 = 40.4 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
33Bafna Pharmaceuticals LtdBAFNAPH 40.2/100Mixed-negative evidence60% evidence 11.6/35 Revenue -3.1% · PAT -5.8% · OPM change -11.3 pp 95% evidence 7.3/25 ROCE 11.9% · OPM 3.4% 76% evidence 9.0/20 P/E 78.3× · PEG — 15% evidence 12.3/20 RS sector — · RS bench 66.4% · 1Y — 25% evidence
Exact sum: 11.6 + 7.3 + 9 + 12.3 = 40.2 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
34Zim Laboratories LtdZIMLAB 39.4/100Mixed-negative evidence72% evidence LEADER 9.6/35 Revenue 7.5% · PAT -60.6% · OPM change -3.3 pp 71% evidence 6.1/25 ROCE 4.8% · OPM 2.6% 95% evidence 8.5/20 P/E 156× · PEG — 15% evidence 15.2/20 RS sector 6.1% · RS bench 27.8% · 1Y 41.7%11 of 12 weeks ahead 100% evidence
Exact sum: 9.6 + 6.1 + 8.5 + 15.2 = 39.4 · Decision use: Price leads the evidence: RS versus the benchmark is 27.8%, but earnings trajectory is weak. Wait for revenue and profit confirmation.
35Indoco Remedies LtdINDOCO 38.3/100Thin evidence · provisional58% evidence ASLEEP 20.4/35 Revenue 11.9% · PAT 100% · OPM change 5 pp 71% evidence 4.4/25 ROCE 0.9% · OPM 9% 76% evidence 10.0/20 P/E — · PEG — 0% evidence 3.5/20 RS sector -32.2% · RS bench -8.6% · 1Y -24.8%5 of 10 weeks ahead 70% evidence
Exact sum: 20.4 + 4.4 + 10 + 3.5 = 38.3 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.
36Natco Pharma LtdNATCOPHARM 37.6/100Mixed-negative evidence100% evidence ASLEEP 3.0/35 Revenue -20.8% · PAT -32.5% · OPM change -18 pp 100% evidence 13.8/25 ROCE 17.1% · OPM 25% 100% evidence 19.0/20 P/E 14.1× · PEG 0.76 100% evidence 1.8/20 RS sector -22.1% · RS bench -4.6% · 1Y -0.5%0 of 12 weeks ahead 100% evidence
Exact sum: 3 + 13.8 + 19 + 1.8 = 37.6 · Decision use: Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.
37Biocon LtdBIOCON 37.5/100Mixed-negative evidence100% evidence FADING 13.6/35 Revenue 9.8% · PAT -36.4% · OPM change 1 pp 100% evidence 7.7/25 ROCE 3.6% · OPM 20% 100% evidence 10.0/20 P/E 93.4× · PEG 0.82 100% evidence 6.2/20 RS sector -13.7% · RS bench 5.6% · 1Y 21.5%7 of 12 weeks ahead 100% evidence
Exact sum: 13.6 + 7.7 + 10 + 6.2 = 37.5 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
38Bajaj Healthcare LtdBAJAJHCARE 37.2/100Mixed-negative evidence87% evidence TURNING 9.9/35 Revenue 12.3% · PAT -59.1% · OPM change 1 pp 95% evidence 10.4/25 ROCE 11.5% · OPM 17% 95% evidence 11.0/20 P/E 19.7× · PEG — 50% evidence 5.9/20 RS sector -30.3% · RS bench -13.3% · 1Y -26.7%3 of 12 weeks ahead 100% evidence
Exact sum: 9.9 + 10.4 + 11 + 5.9 = 37.2 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
39Bharat Parenterals Ltd541096 33.9/100Thin evidence · provisional58% evidence FADING 12.5/35 Revenue -11.2% · PAT 16% · OPM change -2.8 pp 71% evidence 4.1/25 ROCE -1.8% · OPM 9.1% 76% evidence 10.0/20 P/E — · PEG — 0% evidence 7.3/20 RS sector -20.9% · RS bench 7.8% · 1Y -2.7%10 of 11 weeks ahead 70% evidence
Exact sum: 12.5 + 4.1 + 10 + 7.3 = 33.9 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.
40Cipla LtdCIPLA 33.0/100Adverse evidence100% evidence ASLEEP 4.7/35 Revenue 1.8% · PAT -37.7% · OPM change -9 pp 100% evidence 11.9/25 ROCE 15.5% · OPM 17% 100% evidence 11.7/20 P/E 32.7× · PEG 1.25 100% evidence 4.7/20 RS sector -19.3% · RS bench -0.5% · 1Y -2.4%5 of 12 weeks ahead 100% evidence
Exact sum: 4.7 + 11.9 + 11.7 + 4.7 = 33 · Decision use: Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.
41Dr Reddys Laboratories LtdDRREDDY 30.4/100Adverse evidence100% evidence ASLEEP 3.8/35 Revenue -0.9% · PAT -44.6% · OPM change -14 pp 100% evidence 11.7/25 ROCE 13% · OPM 11% 100% evidence 13.5/20 P/E 31.1× · PEG 1.15 100% evidence 1.4/20 RS sector -24.2% · RS bench -6.8% · 1Y -0.9%1 of 12 weeks ahead 100% evidence
Exact sum: 3.8 + 11.7 + 13.5 + 1.4 = 30.4 · Decision use: Cheap but unconfirmed: require improving earnings before treating the valuation as an opportunity.
42Influx Healthtech LtdINFLUX 63.6/100Thin evidence · provisional50% evidence FADING 19.3/35 Revenue — · PAT — · OPM change -1 pp 26% evidence 20.8/25 ROCE 40% · OPM 19% 95% evidence 10.0/20 P/E 32.3× · PEG — 15% evidence 13.5/20 RS sector 1.4% · RS bench 23.1% · 1Y 98.2%7 of 12 weeks ahead 70% evidence
Exact sum: 19.3 + 20.8 + 10 + 13.5 = 63.6 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.
43Syncom Healthcare LtdSYNCOM 50.0/100Thin evidence · provisional31% evidence 17.1/35 Revenue -69.4% · PAT 63.5% · OPM change — 16% evidence 6.9/25 ROCE -20.2% · OPM -225.7% 46% evidence 10.0/20 P/E — · PEG — 0% evidence 16.0/20 RS sector 29.1% · RS bench 45.7% · 1Y —9 of 12 weeks ahead to 2021-06-30 70% evidence
Exact sum: 17.1 + 6.9 + 10 + 16 = 50 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.
44Sai Parenterals LtdSAIPARENT 37.2/100Thin evidence · provisional38% evidence BREAKING OUT 13.7/35 Revenue — · PAT — · OPM change -1 pp 32% evidence 4.9/25 ROCE 6% · OPM 13.2% 95% evidence 8.6/20 P/E 117× · PEG — 15% evidence 10.0/20 RS sector — · RS bench — · 1Y —5 of 5 weeks ahead 0% evidence
Exact sum: 13.7 + 4.9 + 8.6 + 10 = 37.2 · Decision use: Fill the missing evidence before acting; the ranking is deliberately pulled toward neutral.

Missing observations are not scored as bad. Their missing weight lowers confidence and pulls the final score toward neutral. PEG is not shown when the ratio cannot mean anything: the company must be making a profit, its price-to-earnings must be positive, and its three-year earnings growth must fall between 5% and 60%. Dividing a price multiple by a loss, or by growth measured off a tiny base, produces a number that looks precise and tells you nothing. Under relative strength, one mark per week shows the last 12 weeks: a mark is filled where the company led NIFTY 500 by 5% or more over the 13 weeks ending that week, which is the same test used everywhere on this site. Price stage places the company on the same six-step curve the sector itself is placed on — basing, turning, breaking out, leader, fading, asleep — read from how many weeks running it has led NIFTY 500 and whether that lead is widening or shrinking. It describes where the PRICE stands, not the earnings trajectory and not a recommendation, and it is left blank for a company whose weekly history is too short or too stale to read.

17 · Frequently asked questions

Frequently asked questions

What is Ajanta Pharma Ltd's share price today?

Ajanta Pharma Ltd trades at ₹3,673, +36.7% over the past year. The company is valued at ₹45,895 Cr. The stock sits at the very top of its 52-week range (₹2,402–₹3,673), +21.5% versus its 200-day average. On the tape, the price is in a confirmed uptrend, 32 weeks in. — as of 14 August 2026.

What were Ajanta Pharma Ltd's latest quarterly results?

Ajanta Pharma Ltd reported revenue of ₹1,626 Cr and net profit of ₹334 Cr for the Jun 26 quarter. Revenue rose 24.8% and profit rose 31.0% year on year. Earnings per share were ₹26.75. The operating margin was 26.0%, 1.0 pp lower than a year earlier. — as of 14 August 2026.

What is Ajanta Pharma Ltd's revenue?

Ajanta Pharma Ltd reported revenue of ₹1,626 Cr in the Jun 26 quarter, +24.8% year on year. For the full FY26 fiscal year, revenue was ₹5,453 Cr (+17.3%). Over the last 10 years revenue compounded at 12.0% a year. — as of 14 August 2026.

What is Ajanta Pharma Ltd's profit?

Ajanta Pharma Ltd earned ₹334 Cr of net profit in the Jun 26 quarter, +31.0% year on year — the 12th straight quarter of growth. Full-year FY26 profit was ₹1,056 Cr. The operating margin ran 26.0% in the latest quarter. — as of 14 August 2026.

What is Ajanta Pharma Ltd's market cap?

Ajanta Pharma Ltd's market capitalisation is ₹45,895 Cr at a share price of ₹3,673. Market cap is the share price multiplied by shares outstanding, so it is restated whenever the price moves. — as of 14 August 2026.

What is Ajanta Pharma Ltd's P/E ratio?

Ajanta Pharma Ltd trades at a P/E of 40.4×, at the 95th percentile of its own 11-year range, against a long-run median of 28.1×. This is a comparison with the stock's own history, not a value call — as of 14 August 2026.

Does Ajanta Pharma Ltd pay a dividend?

Yes — Ajanta Pharma Ltd's dividend payout was 33% of profit in FY26, and it recorded a payout in 12 of its last 13 reported fiscal years. This page holds the payout ratio, not a per-share amount. — as of 14 August 2026.

Is Ajanta Pharma Ltd overvalued?

On its own history, Ajanta Pharma Ltd looks expensive: its P/E of 40.4× sits at the 95th percentile of its 11-year range (long-run median 28.1×). That is a percentile read against the stock's own past, not a price opinion or a direction call. — as of 14 August 2026.

Is Ajanta Pharma Ltd growing?

Yes — Ajanta Pharma Ltd is growing: latest-quarter revenue +24.8% year on year, profit +31.0%, and the margin −1.0 pp at 26.0%. The 10-year compound rates are 12.0% (revenue) and 9.8% (profit). The earnings engine currently reads: improving — as of 14 August 2026.

How is Ajanta Pharma Ltd performing?

Ajanta Pharma Ltd is in a confirmed uptrend, 32 weeks in. Its latest quarter's revenue rose 24.8% and profit rose 31.0% year on year. Against the NIFTY 500 it has been ahead on a trailing-13-week view for 14 weeks. This describes what the data did, not a rating. — as of 14 August 2026.

What stage is Ajanta Pharma Ltd in?

Consistent — revenue, profit and EPS growth have stayed positive through the window, with ROCE at 31.8% and holding. The read comes from the last 12 quarters of growth (revenue growth +20.2% latest, profit growth +22.2% latest, eps growth +22.0% latest) plus the ROCE curve, classified by deterministic rules — a trajectory read, not a buy or sell call — as of 14 August 2026.

Is Ajanta Pharma Ltd in an uptrend?

Yes — the price is in a confirmed uptrend (week 32 of stage 2), trading +21.5% versus its 200-day average and at the very top 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 14 August 2026.

Is Ajanta Pharma Ltd beating the market?

On recent form, yes — Ajanta Pharma Ltd has been ahead of the NIFTY 500 on a trailing-13-week view for 14 straight weeks, the same metric the week-by-week ribbon on this page draws. Separately, on the cumulative view: over the last 10.5 years the stock moved +328% against the NIFTY 500's +284% — ahead of the index over the full window. — as of 14 August 2026.

Will Ajanta Pharma Ltd's share price go up?

This page publishes no price forecast for Ajanta Pharma Ltd. What it measures instead: the share price is ₹3,673, the price is in a confirmed uptrend 32 weeks in. Its P/E of 40.4× sits at the 95th percentile of its own 11-year range. — as of 14 August 2026.

Who owns Ajanta Pharma Ltd?

Promoters hold 63.5% of Ajanta Pharma Ltd, foreign institutions 7.7%, domestic institutions 21.8% and the public 7.0% (latest quarter). The biggest move on the register over the last two years: Domestic institutions added 4.4 points over 8 quarters. — as of 14 August 2026.

Does Ajanta Pharma Ltd have too much debt?

No — Ajanta Pharma Ltd's debt-to-equity is 0.06, and operating profit covers the interest bill 94×. FY26 borrowings were ₹260 Cr against equity of ₹4,527 Cr. The returns on this page are earned, not borrowed — as of 14 August 2026.

What is Ajanta Pharma Ltd's capex?

Ajanta Pharma Ltd spent ₹872 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 ₹360 Cr, with ₹258 Cr in capital work-in-progress — capacity paid for but not yet earning. — as of 14 August 2026.

What is Ajanta Pharma Ltd's cash flow?

Ajanta Pharma Ltd generated ₹529 Cr of operating cash flow in FY26 and ₹169 Cr of free cash flow after ₹360 Cr of capital spending. Reported profit that year was ₹1,056 Cr, so operating cash ran behind profit. Cash-flow resolution for India is annual. — as of 14 August 2026.

Is Ajanta Pharma Ltd's profit real cash?

Yes — over the last 3 fiscal years, 89% of Ajanta Pharma Ltd's reported profit arrived as operating cash. Though the latest year ran at 50% — the trend is the thing to watch. In FY26, operating cash was ₹529 Cr against reported profit of ₹1,056 Cr. The cash then goes mostly into building capacity. Cash-flow resolution is annual — as of 14 August 2026.

Where is Ajanta Pharma Ltd in its business cycle?

Ajanta Pharma Ltd's FY26 operating margin was 28.0%, against a 13-year band of 22.0%–35.0%: mid-band by its own history — neither the peak that precedes mean-reversion nor the trough that precedes recovery. The latest quarter ran 26.0%. Profitability versus a company's own long band is the cleanest cycle clock this page holds — as of 14 August 2026.

What could break the Ajanta Pharma Ltd story?

The sharpest disagreement: the engine is strong, but at the 95th percentile of its own range you are paying full price for it. 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 14 August 2026.

Is Ajanta Pharma Ltd a stock worth studying right now?

This is not investment advice. The machine read: Ajanta Pharma Ltd is strength at full price. The numbers are improving — and a P/E at the 95th percentile of its own range says the market knows. The sharpest open question: whether the earnings grow into the multiple. Every number on this page is drawn deterministically from the raw series, with no forecasts and no price opinions — as of 14 August 2026.

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