Biocon Limited (BIOCON) AI Stock Analysis

• Market Cap: ₹593.57B
• Dividend Yield: 0.12%
• Average Volume (3M): 208.50K
• Price to Earnings (P/E): 92.1
• Beta (1Y): 1.36
• Revenue Growth: 10.62%
• EPS Growth: -66.88%
• Country: IN
• Employees: 16,315
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): 0.76
• Shares Outstanding: 1,620,907,700
• 10 Day Avg. Volume: 177,351
• 30 Day Avg. Volume: 208,504
• PEG Ratio: -38.08
• Price to Book (P/B): 1.88
• Price to Sales (P/S): 2.66
• P/FCF Ratio: 23.64
• 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: ₹416.33
• Price Target Upside: 14.31% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: ₹391.00 ▲(7.36% Upside)

Biocon Limited's strong financial performance is the most significant factor contributing to its overall score, reflecting robust revenue growth and profitability. However, the technical analysis suggests caution due to overbought signals, and the high P/E ratio indicates potential overvaluation, which negatively impacts the overall score.

Positive Factors

Diversified revenue streams

Biocon's multi-pronged business model — biosimilars, complex generics, CDMO services and licensing — reduces dependence on any single product or market. This structural diversification supports steadier cash flows, lowers execution risk, and sustains investment capacity over months.

Manufacturing and R&D capabilities

Ownership of large-scale biologics and small-molecule manufacturing plus in-house R&D creates a durable competitive edge. It enables efficient scale-up of biosimilars, strengthens CDMO offerings, and attracts partners, supporting margin sustainability and market position over the medium term.

Positive cash generation

Rising operating cash flow and positive free cash flow indicate the company funds operations and capex internally. Persistent cash generation provides flexibility to fund R&D, capacity expansion and partner obligations, reducing reliance on external financing in the coming months.

Negative Factors

Rising debt exposure

Although equity levels are healthy, a noted increase in total debt raises leverage and could constrain financial flexibility. Over several months higher debt servicing needs may pressure cash available for R&D and capacity investments and increase sensitivity to rising interest rates.

Compression in operating margins

A falling EBIT margin suggests operational cost pressures or pricing competition. If this trend persists it will erode returns on sales, limit reinvestment in pipelines and manufacturing, and weaken profitability resilience despite revenue growth over the medium term.

Significant EPS decline

A roughly 67% decline in EPS signals material earnings volatility or one-off hits that reduce internal funding capacity. Sustained EPS weakness can impair the firm's ability to self-finance programs, increase dependence on external capital, and heighten execution risk over several months.

Biocon Limited Business Overview & Revenue Model

Company Description

Biocon Limited, a biopharmaceutical company, manufactures pharmaceuticals, and medicinal chemical and botanical products. The company operates through Generics, Novel Biologics, Biosimilars, and Research Services segments. It focuses in the areas of diabetes, oncology, immunology, ophthalmology, and bone health diseases. In addition, It is involved in the integrated discovery, development, and manufacturing services for small and large molecules. The company serves customers in approximately 120 countries. Biocon Limited was founded in 1978 and is headquartered in Bengaluru, India.

How the Company Makes Money

Biocon generates revenue through a diversified revenue model that includes the sale of biosimilars, branded formulations, and generics. The company has a significant presence in the global biosimilars market, where it earns revenue by launching biosimilar products that mimic existing biologic therapies. Additionally, Biocon has established partnerships with major pharmaceutical companies, which often involve licensing agreements and co-development deals, contributing to its earnings. Furthermore, the company's research services division provides contract research and development services, adding another dimension to its revenue streams. Strategic collaborations with organizations like Mylan and other global players also enhance its market reach and financial performance.

Biocon Limited Financial Statement Overview

Summary

Biocon Limited exhibits strong financial health with consistent revenue growth and profitability. The company's balance sheet is robust, with a solid equity base and manageable leverage. Cash flow generation is positive, supporting its operational needs. While there are minimal risks associated with rising debt levels, the overall financial outlook remains positive.

Income Statement

Biocon Limited has demonstrated strong revenue growth, with an increase in total revenue from 2024 to 2025. The gross profit margin is robust, reflecting efficient cost management, and the net profit margin is solid, indicating profitability. However, the EBIT margin has decreased compared to the previous year, suggesting potential operational challenges.

Balance Sheet

The company maintains a healthy equity ratio, signifying a strong capital structure with substantial stockholders' equity. The debt-to-equity ratio is reasonable, indicating balanced leverage, but the increase in total debt could pose future risks. The return on equity remains strong, reflecting effective use of equity capital.

Cash Flow

Biocon's operating cash flow has increased, underscoring improved cash generation from operations. The free cash flow is positive, indicating the company can fund its operations and investments, although the growth rate has slowed. The operating cash flow to net income ratio is favorable, showcasing efficient cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	157.71B	152.62B	147.56B	111.74B	81.84B	71.43B
Gross Profit	95.31B	92.44B	91.73B	69.62B	50.11B	48.99B
EBITDA	31.75B	31.24B	32.71B	26.57B	19.56B	16.52B
Net Income	3.85B	10.13B	10.22B	4.63B	6.48B	7.41B
Balance Sheet
Total Assets	613.95B	587.97B	560.71B	520.43B	203.94B	185.22B
Cash, Cash Equivalents and Short-Term Investments	60.89B	49.24B	25.74B	37.26B	29.65B	32.24B
Total Debt	164.33B	183.62B	162.77B	180.19B	51.47B	44.81B
Total Liabilities	293.97B	310.85B	307.96B	295.54B	109.24B	100.15B
Stockholders Equity	258.69B	216.44B	197.84B	178.67B	84.33B	76.27B
Cash Flow
Free Cash Flow	0.00	17.18B	10.22B	1.26B	-7.48B	-5.87B
Operating Cash Flow	0.00	40.61B	29.54B	18.52B	11.77B	11.60B
Investing Cash Flow	0.00	-2.34B	-10.04B	-142.82B	-16.99B	-36.25B
Financing Cash Flow	0.00	-18.54B	-23.33B	130.49B	2.42B	25.64B

Biocon Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 364.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:BIOCON, the sentiment is Negative. The current price of 364.2 is below the 20-day moving average (MA) of 374.30, below the 50-day MA of 385.37, and below the 200-day MA of 365.40, indicating a neutral trend. The MACD of -5.80 indicates Positive momentum. The RSI at 40.34 is Neutral, neither overbought nor oversold. The STOCH value of 40.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:BIOCON.

Biocon Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BIOCON	63 Neutral	₹593.57B	92.05	―	0.12%	10.62%	-66.88%
BLUEJET	63 Neutral	₹72.41B	20.65	―	0.22%	63.34%	109.89%
JUBLINGREA	63 Neutral	₹101.26B	34.10	―	0.74%	3.80%	64.94%
SYNGENE	62 Neutral	₹190.87B	53.91	―	0.19%	8.57%	-2.93%
CONCORDBIO	61 Neutral	₹122.89B	38.57	―	0.80%	3.63%	-1.21%
PPLPHARMA	55 Neutral	₹205.44B	-124.57	―	0.08%	2.66%	-153.15%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Biocon Limited Corporate Events

Biocon Raises Rs 4,150 Crore via QIP to Fully Acquire Biocon Biologics

Biocon Limited has raised Rs 4,150 crore (approximately USD 460 million) via a Qualified Institutions Placement, issuing over 112.6 million equity shares at Rs 368.35 each to a broad base of domestic and international institutional investors, including major mutual funds and insurance companies, underscoring strong market confidence in its business model and growth prospects. The company will use the proceeds primarily to finance the buyout of Mylan Inc.’s (Viatris) remaining stake and other minority holdings in Biocon Biologics, repay related acquisition debt and CCD-linked borrowings, and for general corporate purposes, paving the way for Biocon Biologics to become a wholly owned subsidiary by March 31, 2026 and strengthening Biocon’s strategic push in diabetes, oncology and immunology through an integrated biosimilars and generics platform.

Biocon Raises ₹41.5 Billion via Qualified Institutions Placement, Expands Equity Base

Biocon Limited has raised approximately ₹41,500 million through a Qualified Institutions Placement (QIP), issuing 112,664,585 new equity shares of face value ₹5 each at an issue price of ₹368.35 per share to eligible qualified institutional buyers. The capital raise increases Biocon’s paid-up equity share capital from ₹7,54,12,15,940 to ₹8,10,45,38,865, expanding its total equity shares outstanding from 150,82,43,188 to 162,09,07,773, and is expected to strengthen the company’s balance sheet and financial flexibility, with details of major allottees and an updated shareholding pattern to follow in line with SEBI disclosure norms.

Biocon Raises ₹41.5 Billion via QIP, Expands Equity Base

Biocon Limited has raised approximately ₹41,500 million through a qualified institutions placement (QIP) of 11,26,64,585 equity shares at an issue price of ₹368.35 per share, including a premium of ₹363.35. The fundraising, approved by the company’s Fund Raising Committee and completed between January 12 and 14, 2026, increases Biocon’s paid-up equity share capital from ₹7,54,12,15,940 to ₹8,10,45,38,865, expanding its total number of shares from 1,50,82,43,188 to 1,62,09,07,773 and potentially strengthening its balance sheet and financial flexibility for future strategic and operational needs.

Biocon Closes QIP, Raises Capital Through Discounted Share Allocation

Biocon Limited has closed its Qualified Institutions Placement (QIP) of equity shares, initiated on January 12, 2026, after receiving applications and funds from eligible qualified institutional buyers. The company’s Fund Raising Committee approved the closure of the issue on January 14, 2026, and allocated 112,664,585 equity shares at an issue price of ₹368.35 per share, representing a 5% discount to the floor price of ₹387.74, and finalized allocation confirmations to participating investors, marking a significant capital-raising step that may strengthen its balance sheet and support future growth initiatives.

Biocon Clears Placement Document for Qualified Institutions Share Issue

Biocon Limited has approved and adopted a placement document for a Qualified Institutions Placement (QIP) of equity shares with a face value of ₹5 each, in line with SEBI’s Issue of Capital and Disclosure Requirements Regulations and relevant provisions of the Companies Act, 2013. The move, cleared by the company’s Fund Raising Committee on January 14, 2026, marks a key procedural step toward raising institutional capital, which is expected to strengthen Biocon’s balance sheet and support its strategic growth plans in the competitive biopharmaceuticals market, while signaling continued engagement with institutional investors and public market funding avenues.

Biocon Subsidiary Wins USFDA Nod for Everolimus Oral Suspension Tablets

Biocon Pharma Limited, a wholly owned subsidiary of Biocon Limited, has received U.S. Food and Drug Administration approval for its Abbreviated New Drug Application for Everolimus Tablets for Oral Suspension in 2 mg, 3 mg and 5 mg strengths, indicated for the treatment of adult and pediatric patients with Tuberous Sclerosis Complex-related Subependymal Giant Cell Astrocytoma and as adjunctive therapy for TSC-associated partial-onset seizures. The approval adds a specialized central nervous system and oncology-related therapy to Biocon’s U.S. generics portfolio, further strengthening its vertically integrated drug product franchise and supporting its strategy to expand presence in complex, high-value segments of the regulated generics market.

Biocon Sets Record Date for Rs 200 Crore Listed Commercial Paper Maturity

Biocon Limited has announced the record date for the maturity of one of its listed commercial paper issues. The company specified that for its Rs 200 crore commercial paper, bearing ISIN INE376G14057 and maturing on March 3, 2026, the record date has been set as March 2, 2026, with the instrument listed on the National Stock Exchange of India. This disclosure provides clarity to money-market investors and supports transparency in Biocon’s short-term funding arrangements, signaling orderly management of its near-term debt obligations and reinforcing its adherence to listing and compliance norms.

Biocon Lifts Stake in Biocon Biologics to 94% via Share Swap and Cash Deal

Biocon Limited has significantly increased its stake in its unlisted material subsidiary, Biocon Biologics Limited (BBL), through a combination of a large share swap and a partial cash acquisition, consolidating its control to about 94% of BBL’s fully diluted equity capital. In a preferential issue approved by shareholders and stock exchanges, Biocon allotted 171.28 million new equity shares at Rs 405.78 each to existing investors Mylan Inc., Serum Institute Life Sciences, Tata Capital Growth Fund II and Activ Pine LLP as consideration for 261.92 million BBL shares, raising their combined holding in Biocon to 11.36% and expanding Biocon’s paid-up equity capital from Rs 6,684.8 million to Rs 7,541.2 million. Separately, Biocon also completed a cash acquisition of 71.83 million additional BBL shares from Mylan for USD 200 million as part of a larger USD 400 million deal approved earlier, underscoring a strategic move to tighten control over its biologics arm and potentially streamline future value creation and monetisation options for stakeholders.

Biocon Raises Stake in Biocon Biologics to 94% via Share Swap and Cash Deal

Biocon Limited has increased its ownership in its unlisted material subsidiary, Biocon Biologics Limited (BBL), to around 94% of BBL’s fully diluted equity share capital by acquiring a total of 33.38 crore BBL shares. As part of this transaction, Biocon completed a share-swap deal on 5 January 2026, acquiring 26.19 crore BBL shares from Mylan Inc., Serum Institute Life Sciences, Tata Capital Growth Fund II and Activ Pine LLP, and issued 17.13 crore new Biocon shares on a preferential basis to these investors at Rs 405.78 per share, resulting in the allottees collectively holding about 11.36% of Biocon’s expanded equity base. In addition, Biocon paid USD 200 million in cash to Mylan to acquire a further 7.18 crore BBL shares, with the remaining cash leg of the previously approved USD 400 million acquisition to follow. The transaction expands Biocon’s issued share capital and share count, implying equity dilution for existing shareholders but significantly consolidates Biocon’s control over BBL, reinforcing its strategic focus on the biologics segment and potentially enhancing operational and financial integration within the group.

Biocon Shareholders Clear Capital Expansion, Preferential Issue and Higher Investment Limits at EGM

Biocon Limited reported the results of its Extraordinary General Meeting held on 31 December 2025 via video conferencing, where all resolutions on the agenda were approved with the requisite majority. Shareholders voted in favour of increasing the company’s authorised share capital and amending its Memorandum of Association, approving the issuance of equity shares on a preferential basis for consideration other than cash, and raising limits for investments, loans, guarantees, and securities under Section 186 of the Companies Act, 2013. The voting data indicate strong overall support across promoter, institutional and non-institutional categories, although the preferential issue resolution saw a more divided institutional vote before still passing. These approvals collectively provide Biocon additional financial flexibility and capital-raising options, potentially supporting future expansion, strategic investments and balance sheet management, while signalling shareholder backing for the company’s growth and funding plans.

Biocon Biologics Honored as Asia IP Elite for 2025

Biocon Biologics has been recognized as an Asia IP Elite for 2025 by Intellectual Asset Management (IAM), marking the ninth consecutive year of this accolade. This recognition highlights the company’s strong intellectual property strategy and its role in expanding access to affordable therapies, reinforcing its position as a leader in the global biosimilars market.

Biocon Limited’s Credit Ratings Reaffirmed by CRISIL

Biocon Limited has announced that CRISIL Ratings Limited has reaffirmed its credit ratings for the company’s bank facilities, maintaining a long-term rating of Crisil AA+/Stable and a short-term rating of Crisil A1+. This reaffirmation reflects Biocon’s strong financial position and stability, which is crucial for its continued operations and growth in the competitive biopharmaceutical industry.

Biocon Limited Receives Positive Credit Ratings from India Ratings

Biocon Limited announced that India Ratings and Research has assigned and affirmed credit ratings for the company’s various debt instruments. The ratings reflect a stable outlook for the bank loan facilities and high creditworthiness for proposed commercial papers, indicating a positive financial position and potential for growth.

Biocon Limited Announces EGM for December 2025

Biocon Limited has announced the scheduling of an Extraordinary General Meeting (EGM) on December 31, 2025, to be conducted via video conferencing in compliance with regulatory guidelines. This meeting is significant for stakeholders as it reflects Biocon’s commitment to transparency and adherence to corporate governance standards, potentially impacting its operational strategies and investor relations.

Biocon Biologics Secures Market Entry for Denosumab Biosimilars in Europe

Biocon Biologics has announced a settlement agreement with Amgen Inc., paving the way for the commercialization of its Denosumab biosimilars, Vevzuo® and Evfraxy®, in Europe and other international markets starting December 2, 2025. This strategic move follows a similar settlement in the U.S. and is expected to enhance Biocon’s global reach in the oncology and bone health sectors, providing patients with more affordable treatment options. The European Commission had already approved these biosimilars in July 2025, marking a significant step in Biocon’s mission to expand its footprint in the global biosimilars market.

Biocon’s Bengaluru Facility Receives VAI Classification from U.S. FDA

Biocon Limited announced that the U.S. FDA has classified its Biocon Biologics’ Drug Substance Facility in Bengaluru as Voluntary Action Indicated (VAI) following an inspection. This classification pertains to the production of Human Recombinant Insulin and Biosimilar Pegfilgrastim Drug Substance for the U.S. market, reinforcing Biocon’s commitment to maintaining high standards of quality and compliance.

Biocon Pharma Gains U.S. FDA Approval for Tofacitinib Tablets

Biocon Limited’s subsidiary, Biocon Pharma Limited, has received approval from the U.S. FDA for its ANDA for Tofacitinib Extended-Release Tablets, with final approval for the 11mg strength and tentative approval for the 22mg strength. This approval enhances Biocon’s portfolio in complex drug products, potentially strengthening its market position and offering new treatment options for conditions such as Rheumatoid Arthritis and Ulcerative Colitis.

Biocon Limited Announces Q2 FY26 Earnings Call

Biocon Limited has announced its Q2 FY26 earnings call, scheduled for November 12, 2025. This presentation is part of the company’s regulatory compliance with the Securities and Exchange Board of India. The earnings call is expected to provide insights into Biocon’s financial performance and strategic direction, potentially impacting its market positioning and stakeholder interests.