Arvee Laboratories (India) Ltd. (ARVEE) AI Stock Analysis

• Market Cap: ₹1.73B
• Dividend Yield: N/A
• Average Volume (3M): 1.40K
• Price to Earnings (P/E): 428.8
• Beta (1Y): 0.99
• Revenue Growth: -28.88%
• EPS Growth: -82.29%
• Country: IN
• Employees: 65
• Sector: Healthcare
• Sector Strength: 45
• Industry: Chemicals - Specialty
• EPS (TTM): <0.01
• Shares Outstanding: 11,020,000
• 10 Day Avg. Volume: 2,098
• 30 Day Avg. Volume: 1,398
• PEG Ratio: 0.72
• Price to Book (P/B): 5.18
• Price to Sales (P/S): 4.20
• P/FCF Ratio: -93.28
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: ₹161.00 ▼(-33.56% Downside)

The score is primarily constrained by very weak valuation (extremely high P/E) and mixed cash flow quality (negative free cash flow and low cash conversion). These are partially offset by a solid balance sheet and a mixed technical setup that remains supported over longer moving averages despite near-term weakness.

Positive Factors

Balance sheet strength

Conservative leverage and a strong equity ratio provide durable financial flexibility. This reduces refinancing and solvency risk, supports investment in capacity or product development, and allows the firm to withstand industry cyclicality without eroding strategic options.

Margin stability and improvement

Stable gross and net margins, plus recent EBIT/EBITDA improvement, indicate consistent underlying unit economics and some operational leverage. This supports longer-term profitability even if revenue fluctuates, enabling reinvestment and resilience to input cost swings.

Pharma/healthcare industry exposure

Exposure to pharmaceuticals and specialty chemicals ties the business to structurally backed demand and defensive consumption patterns. Industry barriers and recurring demand can support steadier revenue streams and longer product lifecycles versus purely cyclical sectors.

Negative Factors

Sharp revenue decline

A nearly 29% revenue drop undermines growth trajectory and operating leverage, reducing capacity to cover fixed costs and fund strategic initiatives. Persistent top-line weakness erodes scale advantages and can pressure margins, investment plans, and market position.

Weak cash generation and negative FCF

Negative free cash flow and poor conversion of earnings into cash limit the firm’s ability to self-fund capex, R&D, or working capital. Over time this raises reliance on external financing, increases vulnerability to credit cycles, and constrains shareholder returns or strategic M&A.

Earnings volatility

An ~82% EPS decline signals high earnings volatility and weak near-term profit resilience. Such variability hampers forecasting and long-term planning, reduces management optionality for reinvestment, and raises the risk premium required by lenders and partners.

Arvee Laboratories (India) Ltd. Business Overview & Revenue Model

Company Description

Arvee Laboratories (India) Ltd. manufactures and sells various specialized chemicals in India. The company provides polymer modifiers, including dimethyl 5-sodiosulfoisophthalate, 5-sulfoisophthalic acid mono sodium salt, 5-sulfoisophthalic acid mono lithium salt, and 5-sodiosulfo-bis-(ß-hydroxyethyl)-isophthalate; and contrast media intermediates, such as 5-nitroisophthalic acid, dimethyl 5-nitroisophthalate, monomethyl 5-nitroisophthalate, 5-hydroxyisophthalic acid, 5-aminoisophthalic acid, and dimethyl 5-aminoisophthalate, as well as 3,5-dinitrobenzoic acid and 3,5-diamino benzoic acid. It also offers drug intermediates comprising 2-acetyl thiophene, thiophene-2-carboxaldehyde, 4–amino pyridine, and 2–chloro–5–nitrobenzoic acid. In addition, the company exports its products. Arvee Laboratories (India) Ltd. was incorporated in 2012 and is based in Ahmedabad, India.

How the Company Makes Money

Arvee Laboratories generates revenue primarily through the sale of its pharmaceutical products, including finished formulations and active pharmaceutical ingredients. The company operates on a business model that includes supplying both domestic and international markets, leveraging export opportunities to maximize its revenue stream. Key revenue sources include direct sales to hospitals, pharmacies, and distributors, as well as long-term contracts with healthcare providers. Additionally, ARVEE may engage in strategic partnerships with other pharmaceutical companies for co-development projects, which can further enhance its earnings through shared revenues and collaborative ventures.

Arvee Laboratories (India) Ltd. Financial Statement Overview

Summary

Balance sheet strength (low leverage and strong equity ratio) supports stability, but income performance is volatile with a recent revenue decline and inconsistent growth. Cash flow is a key weakness due to negative recent free cash flow and weak conversion of earnings into cash.

Income Statement

Arvee Laboratories experienced fluctuating revenue over the years with a decline in the latest period. Gross and net profit margins have generally been stable, with a slight improvement in EBIT and EBITDA margins in the most recent year. However, the revenue growth rate has been inconsistent, indicating volatility in income generation.

Balance Sheet

The company maintains a low debt-to-equity ratio, indicating conservative leverage usage. Return on Equity has been positive, showcasing profitability for shareholders. The equity ratio is strong, suggesting a higher proportion of assets financed by equity, which enhances financial stability.

Cash Flow

Cash flow performance is mixed, with recent negative free cash flows indicating potential liquidity issues. The operating cash flow to net income ratio is relatively low, suggesting challenges in converting profits into cash flows. The free cash flow to net income ratio further highlights difficulties in cash generation despite recorded profits.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	353.65M	384.87M	303.42M	612.76M	403.27M	471.44M
Gross Profit	159.88M	121.63M	41.49M	173.09M	138.08M	142.99M
EBITDA	31.37M	42.69M	35.78M	86.34M	61.90M	61.30M
Net Income	13.74M	21.47M	10.52M	41.19M	25.74M	26.77M
Balance Sheet
Total Assets	0.00	381.58M	381.99M	386.85M	386.85M	410.46M
Cash, Cash Equivalents and Short-Term Investments	59.75M	49.06M	18.65M	8.92M	31.08M	86.39M
Total Debt	0.00	10.33M	10.00M	10.00M	31.31M	88.79M
Total Liabilities	-312.61M	68.97M	90.85M	106.23M	147.43M	196.08M
Stockholders Equity	312.61M	312.61M	291.14M	280.62M	239.42M	214.38M
Cash Flow
Free Cash Flow	0.00	-17.35M	10.78M	14.45M	16.52M	-5.80M
Operating Cash Flow	0.00	1.19M	36.64M	29.29M	40.16M	17.11M
Investing Cash Flow	0.00	-17.91M	-21.63M	-12.58M	592.61K	-6.04M
Financing Cash Flow	0.00	333.00K	-1.88M	-24.17M	-60.51M	45.20M

Arvee Laboratories (India) Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 242.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ARVEE, the sentiment is Negative. The current price of 242.32 is above the 20-day moving average (MA) of 172.60, above the 50-day MA of 190.67, and above the 200-day MA of 172.11, indicating a bearish trend. The MACD of -13.25 indicates Positive momentum. The RSI at 36.87 is Neutral, neither overbought nor oversold. The STOCH value of 33.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ARVEE.

Arvee Laboratories (India) Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BALAXI	63 Neutral	₹269.19M	6.72	―	―	―	―
ARVEE	55 Neutral	₹1.73B	428.75	―	―	-28.88%	-82.29%
BIOFILCHEM	55 Neutral	₹469.50M	16.42	―	―	36.76%	433.63%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
LASA	43 Neutral	₹461.93M	-1.28	―	―	-20.40%	-59.20%
VIVIMEDLAB	39 Underperform	₹733.79M	-3.01	―	―	-22.42%	21.83%

Arvee Laboratories (India) Ltd. Corporate Events

Arvee Laboratories to Shut Trading Window Ahead of December Quarter Results

Arvee Laboratories (India) Ltd has announced the closure of its trading window for dealings in its securities from 1 January 2026 until two trading days after the declaration of financial results for the quarter and period ended 31 December 2025. The restriction, applicable to promoters, directors, key managerial personnel, designated employees and their immediate relatives, is in line with the company’s code of conduct under SEBI’s Prohibition of Insider Trading Regulations and is intended to prevent any trading based on unpublished price-sensitive information ahead of the upcoming results.

Arvee Laboratories Denies Any Undisclosed Events Behind Share Price Volatility

Arvee Laboratories (India) Ltd. has responded to a query from the National Stock Exchange of India following significant movement in its share price, stating that it remains in full compliance with SEBI’s Listing Obligations and Disclosure Requirements Regulations, 2015. The company clarified that there are currently no undisclosed material events that would require announcement under these regulations and emphasized that it cannot comment on stock price fluctuations, which it attributes solely to shareholder-driven market activity, signaling to investors and regulators that no company-specific trigger is behind the recent volatility.