Lupin Ltd (LUPIN) — share price & stock analysis

Market cap

₹1,09,622 Cr

P/E

19×

ROE

29.1%

vs own 10-yr valuation

lowest ever

Book value / share

₹491

EPS (TTM)

₹126

10-yr median P/E

28.8×

Revenue (FY26)

₹27,958 Cr

Profit after tax (FY26)

₹5,355 Cr

Weinstein stage

Stage 2 (30 weeks)

Data as of

1 July 2026

5 of the 6 things we track are currently moving the right way — nearly everything is pulling in the same direction.

Where the levels actually stand: ROCE 30% — a high-quality engine; effectively no debt; margins at an all-time high. Momentum says which way things are moving; these say where they are.

Read this number for what it is: it measures the DIRECTION of change, not the quality of the business. A mediocre business getting better scores high here; a great one having a soft quarter scores low. Profit, sales and margins count double, and a quarter of the score comes from our earnings-recovery lens (is the profit cycle turning up off its trough?).

Earnings moved first — the price is still catching up

Since Mar 2016, earnings per share grew 151% while the stock is up 64%. The business has outrun its own share price.pricettm_eps

When profits grow faster than the price, the stock quietly gets cheaper while doing better — the market hasn’t fully caught up.

Today’s P/E of 19× is about the cheapest this stock has ever traded against its own 10-year history.pe_ratio

One caveat: this history includes FY20 and FY22, when earnings collapsed and the P/E was sky-high. “Cheapest ever” partly reflects earnings finally normalising, not just a cheap price.net_profit

And the sharper caveat: today’s margins are the best this company has ever printed. The cheap multiple is only real if they hold — earnings at record profitability flatter every valuation ratio.operating_profit

Price is the weekly close (₹). EPS is trailing-twelve-month profit per share, anchored on Screener's own snapshots; between snapshots it is filled from price ÷ P/E (an exact identity), and any fill straying more than 18% from the neighbouring snapshots is dropped rather than shown. The lower panel is the P/E — what the market pays per rupee of profit; the dotted line is its long-run median (28.8×).

An uptrend that has held for 30 weeks

Every stock cycles through the same four seasons — a flat base (stage 1), an advance (2), a top (3), a decline (4). Right now this one is in Stage 2: advancing, 30 weeks in, confirmed.stage

The price sits above its rising 200-day average (₹2,200 today) — trends like this persist more often than they reverse, which is why the system rides them instead of guessing the top.dma_200

Beating NIFTY 500 for 31 weeks — relative strength is the market’s live opinion, and right now it is on this stock’s side.rs_mansfield

What would end it: two Friday closes in a row below the 200-day line. That is the house exit rule — mechanical, no debates.dma_200

A business that went through the fire — losses in FY20 and FY22, records now

Over 12 years, sales went from ₹11,286 Cr to ₹27,958 Cr (about 8% a year), and profit from ₹1,870 Cr to ₹5,355 Cr.revenuenet_profit

The books show real losses in FY20 and FY22 (worst: ₹−1,528 Cr). Everything about today’s cheap-looking numbers must be read against that history — the recovery is what you are buying.net_profit

Sales jumped 32% last quarter — growth every single quarter for over 2 years

Mar 26 sales were ₹7,475 Cr, up 32% on the same quarter last year.revenue

That makes 11 quarters of growth in a row — this is a trend, not a blip.revenue

Margins are widening — 23% → 33% in a year

Of every ₹100 of sales, the company keeps ₹33.3 as operating profit (a year ago it kept ₹23.3).opm_pct

Zoom out and this is the page's quiet hero: annual operating margin bottomed at 1.3% in FY22 and has been rebuilt to 31.5% — that recovery, not sales alone, is what powers the profit growth elsewhere on this page.operating_profit

The gross margin moved the same way (70% → 75%), so this is about input costs and pricing power — the raw-material equation improved.gpm_pctopm_pct

Profit exploded 88% — mostly from keeping more of each sale

Mar 26 profit after tax was ₹1,469 Cr, up 88% year on year.net_profit

The profits are real — they turn into cash

Over the last 4 profitable years, the business reported ₹11,045 Cr of profit and collected ₹15,879 Cr of operating cash — about 144% conversion (1 loss year excluded — a negative denominator would flatter the ratio).operating_cash_flownet_profit

One asterisk on that strength: suppliers are being paid 50 days later than a year ago (158 → 208 days). Cash flattered by stretching payables is real cash — but it is borrowed timing, not extra earning power.payable_days

The cash cycle looks tighter — but it is supplier credit doing the work

One rupee now takes about 181 days to go out the door as materials and come back as collected cash — down from 223 days the year before.cash_conversion_cycle

Look inside the improvement, though: suppliers are being paid 50 days later (158 → 208 days), while inventory actually got heavier (292 → 303 days). Supplier credit is funding the cycle — useful, but not the same thing as customers paying faster.payable_daysinventory_days

The asset base keeps compounding — this company builds

The productive asset base has gone from ₹3,356 Cr (FY14) to ₹11,315 Cr, with another ₹695 Cr of capacity under construction right now.fixed_assetscwip

The build is self-funded: the last 3 years' investing outflow (₹9,749 Cr) fits inside the operating cash the business generated (₹13,982 Cr).investing_cash_flowoperating_cash_flow

Debt is small — but no longer zero, and growing

For every ₹100 shareholders have put in (and left in), the company has borrowed ₹29 — total borrowings have grown from ₹654 Cr to ₹6,616 Cr over the window.borrowings

The equity base grew even faster, so the ratio stays comfortable — but a 10× rise in absolute borrowings deserves a name (acquisitions, capex), not a shrug. Watch whether it keeps compounding.borrowings

Every ₹100 kept in the business now earns ₹30 — and the number is rising

Return on capital employed is 30.0% (a year ago: 21.0%). This is the single best test of business quality: what the company earns on the money it keeps.roce_pct

Rising returns on capital while growing is the rarest combination in investing — it means the new projects earn more than the old ones.roce_pct

The owners aren’t moving

Promoters hold 46.9%, essentially unchanged. Foreign funds own 21.7%, domestic funds 25.3%.promoters_pctfiis_pctdiis_pct

Institutions buying while the story develops is the market’s quiet vote of confidence — they meet management, you don’t.

Meanwhile domestic funds have been the sellers — from 29.1% to 25.3% over the window. Someone on the other side of the table disagrees; both sides count.diis_pct

The numbers earn a deeper study — and watch the one thing that matters

The numbers lean positive, and the price hasn’t fully caught up with the improvement.

Best thing in the data: free cash flow rising (₹−1,172 Cr → ₹3,469 Cr).operating_cash_flow

Machine-written research from Screener data — every number traces to its source column. Sector Alpha is not a SEBI-registered investment adviser; nothing here is a recommendation to buy or sell. Not investment advice.

Straight answers from the data