Aarti Pharmalabs Limited (IN:AARTIPHARM)
:AARTIPHARM
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Aarti Pharmalabs Limited
(AARTIPHARM)
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Rating:59Neutral
Price Target:
₹616.00
▼(-26.88% Downside)
Action:ReiteratedDate:11/25/25
The overall stock score of 59 reflects strong financial performance but is weighed down by bearish technical indicators and moderate valuation. The company's robust growth and profitability are offset by liquidity concerns due to negative free cash flow and current market momentum.
Positive Factors
Balance sheet strength
Low leverage and a high equity ratio provide a durable financial cushion versus peers, reducing refinancing risk and supporting capital allocation. Improved ROE demonstrates more effective use of shareholder capital, enabling resilience through industry cycles and capacity to fund strategic investments.
Negative Factors
Negative free cash flow
Persistent negative FCF from elevated capex undermines financial flexibility, forcing reliance on external funding or slower deleveraging. Over the medium term this can constrain dividends, limit strategic investments, and magnify liquidity risk if cash conversion does not improve.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance sheet strength
Low leverage and a high equity ratio provide a durable financial cushion versus peers, reducing refinancing risk and supporting capital allocation. Improved ROE demonstrates more effective use of shareholder capital, enabling resilience through industry cycles and capacity to fund strategic investments.
Read all positive factors
Aarti Pharmalabs Limited (AARTIPHARM) vs. iShares MSCI India ETF (INDA)
Market Cap
₹61.81B
Dividend Yield0.67%
Average Volume (3M)18.67K
Price to Earnings (P/E)35.6
Beta (1Y)0.82
Revenue Growth-3.15%
EPS Growth5.11%
CountryIN
Employees2,095
SectorHealthcare
Sector Strength45
IndustryDrug Manufacturers - Specialty & Generic
Share Statistics
EPS (TTM)5.29
Shares Outstanding90,657,750
10 Day Avg. Volume12,195
30 Day Avg. Volume18,670
Financial Highlights & Ratios
PEG Ratio0.98
Price to Book (P/B)3.43
Price to Sales (P/S)3.23
P/FCF Ratio-96.96
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
₹965.00Price Target Upside14.55% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Aarti Pharmalabs Limited Business Overview & Revenue Model
Company Description
Aarti Pharmalabs Limited manufactures and sells active pharmaceutical ingredients, pharmaceutical intermediates, new chemical entities, and xanthine derivatives in India. The company was formerly known as Aarti Organics Limited. Aarti Pharmalabs L...
How the Company Makes Money
Aarti Pharmalabs makes money primarily by manufacturing and selling pharmaceutical ingredients to business customers (B2B). Key revenue streams include: (1) Sale of active pharmaceutical ingredients (APIs): revenue generated from supplying APIs th...
Aarti Pharmalabs Limited Financial Statement Overview
Summary
Income Statement
75
Positive
Balance Sheet
80
Positive
Cash Flow
65
Positive
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 19.06B | 21.15B | 18.16B | 19.45B | 11.92B | 0.00 |
| Gross Profit | 9.05B | 9.87B | 3.91B | 4.14B | 3.12B | 0.00 |
| EBITDA | 4.48B | 4.74B | 3.91B | 3.44B | 1.98B | -45.96K |
| Net Income | 2.40B | 2.72B | 2.17B | 1.93B | 1.22B | -45.96K |
Balance Sheet | ||||||
| Total Assets | 32.66B | 29.06B | 25.82B | 22.44B | 20.40B | 2.50M |
| Cash, Cash Equivalents and Short-Term Investments | 555.56M | 562.06M | 940.33M | 631.11M | 832.73M | 2.50M |
| Total Debt | 6.59B | 4.13B | 2.85B | 2.15B | 3.41B | 173.00K |
| Total Liabilities | 12.20B | 9.16B | 8.25B | 6.86B | 6.53B | 232.71K |
| Stockholders Equity | 20.46B | 19.90B | 17.57B | 15.58B | 13.86B | 2.27M |
Cash Flow | ||||||
| Free Cash Flow | -1.17B | -704.76M | 175.69M | 1.30B | -1.85B | 0.00 |
| Operating Cash Flow | 996.13M | 3.32B | 2.16B | 2.50B | -437.04M | 0.00 |
| Investing Cash Flow | -2.22B | -4.14B | -2.15B | -1.58B | -1.39B | 0.00 |
| Financing Cash Flow | 1.48B | 654.35M | 97.23M | -1.63B | 2.60B | 0.00 |
Aarti Pharmalabs Limited Technical Analysis
Neutral
842.40
Price Trends
700.11
Negative
717.70
Negative
792.60
Negative
Market Momentum
-13.45
Negative
55.83
Neutral
87.99
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AARTIPHARM, the sentiment is Neutral. The current price of 842.4 is above the 20-day moving average (MA) of 647.55, above the 50-day MA of 700.11, and above the 200-day MA of 792.60, indicating a neutral trend. The MACD of -13.45 indicates Negative momentum. The RSI at 55.83 is Neutral, neither overbought nor oversold. The STOCH value of 87.99 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:AARTIPHARM.
Aarti Pharmalabs Limited Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | ₹777.98B | 18.87 | ― | 0.33% | 7.33% | -3.79% | |
68 Neutral | ₹988.93B | 45.14 | ― | 0.87% | 6.93% | 21.55% | |
66 Neutral | ₹584.93B | 59.42 | ― | 0.15% | 25.83% | 421.20% | |
59 Neutral | ₹61.81B | 35.56 | ― | 0.67% | -3.15% | 5.11% | |
57 Neutral | ₹32.62B | 23.17 | ― | 0.24% | 4.08% | 31.52% | |
53 Neutral | ₹612.12B | 35.61 | ― | 0.24% | 30.27% | ― | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
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Aarti Pharmalabs Limited Corporate Events
Aarti Pharmalabs Posts Q3 FY26 Earnings Call Recording Online
Feb 10, 2026
Aarti Pharmalabs Limited has announced that the audio recording of its investors and analysts earnings conference call, covering the unaudited financial results for the third quarter and nine months ended December 31, 2025, is now available on its...
Aarti Pharmalabs Schedules Q3 FY26 Earnings Call for 10 February
Feb 2, 2026
Aarti Pharmalabs Limited has scheduled an earnings conference call with investors and analysts on 10 February 2026 to discuss its financial results for the third quarter of fiscal 2025-26. The call, to be held at 4:00 p.m. IST and led by the compa...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.