IGC Pharma (IGC) AI Stock Analysis

• Market Cap: $27.86M
• Dividend Yield: N/A
• Average Volume (3M): 715.71K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.37
• Revenue Growth: -6.51%
• EPS Growth: 58.31%
• Country: US
• Employees: 67
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.02
• Shares Outstanding: 92,868,240
• 10 Day Avg. Volume: 826,885
• 30 Day Avg. Volume: 715,709
• PEG Ratio: 0.05
• Price to Book (P/B): 3.45
• Price to Sales (P/S): 17.16
• P/FCF Ratio: -4.13
• Enterprise Value/Market Cap: 0.82
• Enterprise Value/Revenue: 20.69
• Enterprise Value/Gross Profit: 44.79
• Enterprise Value/Ebitda: -3.55
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: $0.34 ▲(12.33% Upside)

IGC Pharma's overall stock score reflects significant financial challenges, particularly in profitability and valuation. Technical analysis shows a bearish trend, while the recent asset sale is a positive strategic move. The company needs to address revenue growth and profitability to improve its financial position.

Positive Factors

Strategic Asset Sale

The asset sale is a strategic move to streamline operations and improve financial stability, allowing IGC to focus on core competencies and enhance cash flow.

Cash Flow Improvement

Improved cash flow management suggests better financial discipline, which is crucial for sustaining operations and funding future growth initiatives.

Low Leverage

Low leverage provides financial flexibility and reduces risk, allowing IGC to navigate economic uncertainties with greater resilience.

Negative Factors

Declining Revenue

Declining revenue trends indicate challenges in market penetration and product adoption, which could hinder long-term growth prospects if not addressed.

Negative Profit Margins

Sustained negative profit margins reflect operational inefficiencies and could limit the company's ability to reinvest in growth and innovation.

Operating Cash Flow Challenges

Negative operating cash flow indicates difficulty in generating sufficient cash from core business activities, potentially impacting liquidity and operational sustainability.

IGC Pharma Business Overview & Revenue Model

Company Description

IGC Pharma, Inc. is a clinical-stage pharmaceutical company that is focused on Alzheimer's disease, developing innovative solutions to address this devastating illness. It has two investigational drug assets targeting Alzheimer's disease: IGC-AD1, which is in a Phase 2 clinical trial as a treatment for agitation in dementia due to Alzheimer's and TGR-63 that is in pre-clinical development. In addition to its drug development pipeline, IGC Pharma seeks to leverage artificial intelligence (AI) for Alzheimer's research. The company was founded by Ram Mukunda on April 29, 2005 and is headquartered in Potomac, MD.

How the Company Makes Money

IGC Pharma generates revenue primarily through the development and commercialization of its pharmaceutical products. The company focuses on securing partnerships with research institutions and pharmaceutical companies to enhance its product pipeline and expedite its entry into the market. Additionally, IGC may earn revenue through licensing agreements, where it grants rights to its formulations or technologies to other companies for further development or distribution. The company also explores opportunities for grants and funding from governmental and non-governmental organizations that support innovative healthcare solutions.

IGC Pharma Financial Statement Overview

Summary

IGC Pharma faces significant financial challenges, particularly in profitability and revenue growth. The income statement highlights declining revenues and negative margins, while the balance sheet shows low leverage but negative returns. Cash flow improvements are a positive sign, but overall financial health remains weak. The company needs to address revenue growth and profitability to improve its financial position.

Income Statement

IGC Pharma's income statement reveals significant challenges, with declining revenue and negative profit margins. The TTM data shows a revenue decline of 16.65%, and the net profit margin is deeply negative at -4.78%. The company struggles with profitability, as evidenced by negative EBIT and EBITDA margins. Despite these challenges, the gross profit margin remains relatively stable, indicating some efficiency in cost management.

Balance Sheet

The balance sheet indicates a low debt-to-equity ratio of 0.033, suggesting conservative leverage. However, the return on equity is negative, reflecting ongoing losses. The equity ratio is not explicitly calculated but appears stable given the low debt levels. Overall, the balance sheet shows financial stability but lacks profitability.

Cash Flow

Cash flow analysis shows a positive trend in free cash flow growth at 22.83% TTM, indicating improved cash management. However, both operating and free cash flows remain negative, with a high operating cash flow to net income ratio of -2.58, reflecting cash flow challenges. The company maintains a positive free cash flow to net income ratio, suggesting some ability to cover losses with cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.11M	1.27M	1.34M	911.00K	397.00K	898.00K
Gross Profit	511.00K	619.00K	733.00K	-158.00K	194.00K	-349.00K
EBITDA	-6.45M	-6.83M	-9.16M	-10.85M	-14.37M	-8.33M
Net Income	-6.45M	-7.12M	-13.00M	-11.51M	-15.02M	-8.81M
Balance Sheet
Total Assets	9.74M	8.75M	9.90M	17.18M	26.83M	35.87M
Cash, Cash Equivalents and Short-Term Investments	1.10M	405.00K	1.20M	3.35M	10.46M	14.63M
Total Debt	137.00K	238.00K	348.00K	481.00K	611.00K	1.07M
Total Liabilities	1.65M	2.42M	2.58M	2.27M	2.94M	3.06M
Stockholders Equity	8.09M	6.33M	7.32M	14.91M	23.89M	32.80M
Cash Flow
Free Cash Flow	-5.89M	-5.28M	-5.71M	-7.67M	-8.23M	-12.39M
Operating Cash Flow	-5.54M	-4.79M	-5.20M	-7.05M	-7.46M	-10.80M
Investing Cash Flow	-40.00K	-442.00K	-317.00K	-235.00K	-742.00K	3.39M
Financing Cash Flow	5.11M	4.45M	3.52M	100.00K	4.14M	14.69M

IGC Pharma Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IGC, the sentiment is Negative. The current price of 0.3 is below the 20-day moving average (MA) of 0.32, below the 50-day MA of 0.36, and below the 200-day MA of 0.35, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 40.31 is Neutral, neither overbought nor oversold. The STOCH value of 51.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IGC.

IGC Pharma Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VRCA	54 Neutral	$74.21M	―	―	―	234.73%	81.16%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
IGC	47 Neutral	$27.86M	-3.86	-83.34%	―	-6.51%	58.31%
DYAI	46 Neutral	$36.18M	-4.22	-244.15%	―	-0.66%	-8.43%
LVTX	44 Neutral	$42.75M	-1.54	-101.50%	―	-32.06%	16.38%
PLUR	42 Neutral	$31.46M	-1.10	―	―	121.74%	24.75%
ELUT	41 Neutral	$25.04M	-0.64	―	―	-14.92%	72.81%

IGC Pharma Corporate Events

IGC Pharma Increases Authorized Shares to 600 Million

IGC Pharma, Inc. announced an amendment to its Articles of Incorporation to increase its authorized common stock from 150 million to 600 million shares, effective December 12, 2025. This decision, approved by stockholders on October 10, 2025, aims to enhance the company’s capital structure and potentially impact its market operations by expanding its capacity to issue more shares.

IGC Pharma Sells Vancouver Assets to Wellness Essentials

IGC Pharma, Inc., through its subsidiary Holi Hemp LLC, completed the sale of certain assets from its Vancouver, Washington facility to Wellness Essentials Northwest LLC on November 13, 2025. The transaction, valued at approximately $2.7 million, involved the transfer of equipment, inventory, and leasehold assets, with the buyer assuming certain employees and lease obligations. The deal includes rights for the buyer to manufacture IGC’s products at preferential pricing until 2030, and a contingent right for IGC to receive a portion of net proceeds if the buyer sells the business within five years. This strategic move is expected to streamline IGC’s operations and enhance its financial position.

IGC Pharma Subsidiary Signs Asset Sale Agreement

On September 29, 2025, IGC Pharma‘s subsidiary, Holi Hemp LLC, entered into a Sale of Assets and Manufacturing Agreement with Wellness Essentials Northwest Inc. The agreement involves the sale of equipment, inventory, and a facility for approximately $2.7 million, subject to adjustments. The transaction includes preferential supply rights for IGC Pharma and a 10% entitlement on net proceeds if the buyer sells the business within five years.