Aurobindo Pharma Ltd (AUROPHARMA) AI Stock Analysis

• Market Cap: ₹621.37B
• Dividend Yield: 0.36%
• Average Volume (3M): 74.18K
• Price to Earnings (P/E): 18.3
• Beta (1Y): 1.04
• Revenue Growth: 7.76%
• EPS Growth: -2.84%
• Country: IN
• Employees: 26,015
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 14.20
• Shares Outstanding: 580,801,640
• 10 Day Avg. Volume: 19,620
• 30 Day Avg. Volume: 74,180
• PEG Ratio: 1.82
• Price to Book (P/B): 2.02
• Price to Sales (P/S): 2.11
• P/FCF Ratio: 33.78
• 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: ₹1,171.20
• Price Target Upside: 9.47% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 76 Outperform
• Price Target: ₹1,265.00 ▲(18.24% Upside)

Aurobindo Pharma's strong financial performance, characterized by robust revenue growth and improved profitability, is the primary driver of its stock score. Technical analysis supports a positive short-term trend, while valuation metrics suggest the stock is fairly valued. The absence of earnings call data and corporate events does not impact the score.

Aurobindo Pharma Ltd Business Overview & Revenue Model

Company Description

Aurobindo Pharma Limited engages in the research, development, manufacture, and sale of active pharmaceutical ingredients, generic pharmaceuticals, and related services in India. The company primarily offers oral solids, injectables, and over-the-counter drugs, as well as active pharmaceutical ingredients and finished dosage forms for cardiovascular, central nervous system, gastroenterology, anti-allergies, anti-diabetics, anti-retroviral, antibiotics, dermatology, respiratory, and oncology. It is also involved in the development of a product pipeline in biosimilar and vaccine segments; and custom research and manufacturing activities for the bio-tech and pharmaceutical community. In addition, the company develops and manufactures peptides, as well as biocatalysts for use in the pharmaceutical and chemical industries. Further, it is developing biosimilar, inhalers, transdermal patches, vaccines, topicals, and depot injections. The company also exports its products. It serves multinational companies. The company has an agreement with COVAXX to develop and commercialize COVID-19 Vaccine for India and UNICEF. Aurobindo Pharma Limited was incorporated in 1986 and is headquartered in Hyderabad, India.

How the Company Makes Money

Aurobindo Pharma Ltd generates revenue primarily through the sale of generic pharmaceuticals and active pharmaceutical ingredients (APIs). The company's revenue streams are diversified across multiple therapeutic categories, with a significant portion of its income derived from its operations in the highly regulated markets of the United States and Europe. Aurobindo Pharma benefits from its vertically integrated business model, which allows the company to control the entire supply chain from API manufacturing to finished dosage forms. This integration not only enhances cost efficiency but also ensures consistent quality and supply reliability. The company actively pursues strategic partnerships and alliances to expand its market reach and product offerings. Additionally, Aurobindo invests in research and development to introduce new generic products and enhance its existing portfolio, thereby maintaining competitive advantage and driving future growth.

Aurobindo Pharma Ltd Financial Statement Overview

Summary

Aurobindo Pharma Ltd exhibits a strong financial profile characterized by impressive revenue growth and improved profitability margins. The balance sheet is robust with low leverage and a strong equity base, though there is room to enhance return on equity. Cash flow performance has recovered well, underscoring effective cash management. The company is well-positioned for future growth, though maintaining operational efficiency will be crucial.

Income Statement

Aurobindo Pharma has demonstrated strong revenue growth with a significant increase from ₹290,018.7 million to ₹317,237.3 million, indicating robust sales momentum. Gross profit margin has improved to 58.9%, and net profit margin has steadily grown to 11%. This highlights the company's enhanced profitability. However, EBITDA margin has decreased slightly, suggesting some pressure on operating efficiency.

Balance Sheet

The balance sheet reflects a solid financial position with a low debt-to-equity ratio of 0.25, showcasing effective leverage management. The equity ratio stands at 65.6%, indicating a strong equity base relative to total assets. Return on equity is satisfactory at 10.7%, though it suggests potential room for improvement in generating shareholder returns.

Cash Flow

The cash flow statement reveals a strong recovery in free cash flow, which turned positive at ₹19,567.6 million from a negative position the previous year. Operating cash flow has increased significantly, leading to a favorable operating cash flow to net income ratio. The free cash flow to net income ratio has also improved, reflecting better cash management and profitability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	317.13B	313.78B	290.02B	246.17B	233.67B	245.58B
Gross Profit	185.20B	186.97B	160.16B	69.00B	69.38B	139.47B
EBITDA	69.09B	66.05B	61.79B	40.09B	45.36B	85.29B
Net Income	33.91B	34.86B	31.73B	19.27B	26.48B	53.35B
Balance Sheet
Total Assets	0.00	497.85B	450.72B	398.90B	339.22B	338.54B
Cash, Cash Equivalents and Short-Term Investments	82.36B	82.36B	63.25B	62.24B	45.58B	56.21B
Total Debt	0.00	82.63B	66.48B	52.86B	32.79B	53.39B
Total Liabilities	-326.47B	171.38B	152.21B	130.38B	93.48B	119.25B
Stockholders Equity	326.47B	326.53B	298.43B	268.40B	245.76B	219.30B
Cash Flow
Free Cash Flow	0.00	19.57B	-11.27B	-3.34B	23.12B	14.55B
Operating Cash Flow	0.00	39.25B	24.35B	23.87B	50.16B	33.29B
Investing Cash Flow	0.00	-18.76B	-42.56B	-39.78B	-32.12B	5.99B
Financing Cash Flow	0.00	1.20B	8.00B	18.14B	-29.69B	-13.65B

Aurobindo Pharma Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1069.85
• 50DMA: Positive
• 100DMA: Positive
• 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:AUROPHARMA, the sentiment is Positive. The current price of 1069.85 is below the 20-day moving average (MA) of 1098.60, below the 50-day MA of 1077.65, and below the 200-day MA of 1142.10, indicating a neutral trend. The MACD of 4.92 indicates Positive momentum. The RSI at 59.50 is Neutral, neither overbought nor oversold. The STOCH value of 48.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:AUROPHARMA.

Aurobindo Pharma Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AUROPHARMA	76 Outperform	₹621.37B	18.32	―	0.36%	7.76%	-2.84%
ALKEM	72 Outperform	₹656.26B	28.73	―	0.82%	4.49%	11.22%
LUPIN	68 Neutral	₹879.10B	23.74	―	0.63%	12.40%	63.16%
ZYDUSLIFE	67 Neutral	₹993.91B	21.74	―	1.12%	14.52%	9.46%
LAURUSLABS	55 Neutral	₹465.90B	91.49	―	0.14%	17.31%	242.99%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
GLENMARK	48 Neutral	₹553.79B	73.47	―	0.13%	10.99%	―

Aurobindo Pharma Ltd Corporate Events

Aurobindo Pharma’s Apitoria Unit Completes US FDA Inspection with Procedural Observations

Aurobindo Pharma Limited announced the completion of a US FDA inspection at Unit-I of its wholly owned subsidiary, Apitoria Pharma Private Limited, located in Telangana, India. The inspection concluded with a ‘Form 483’ issued containing five procedural observations, but no data integrity issues were found. The company stated that these observations will not impact its financials or operations, reaffirming its commitment to maintaining high-quality manufacturing standards.

Aurobindo Pharma to Engage in Virtual Investor Conference

Aurobindo Pharma Ltd has announced its participation in an upcoming virtual investor conference organized by Centrum Broking on August 20, 2025. This engagement reflects the company’s ongoing efforts to maintain transparency with stakeholders and investors, although no unpublished price-sensitive information will be disclosed during the meeting.