GlaxoSmithKline Pharmaceuticals Limited (GLAXO) AI Stock Analysis

• Market Cap: ₹406.14B
• Dividend Yield: 2.16%
• Average Volume (3M): 1.83K
• Price to Earnings (P/E): 42.5
• Beta (1Y): 0.70
• Revenue Growth: 4.17%
• EPS Growth: 41.51%
• Country: IN
• Employees: 3,211
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - General
• EPS (TTM): 15.00
• Shares Outstanding: 169,406,040
• 10 Day Avg. Volume: 1,472
• 30 Day Avg. Volume: 1,831
• PEG Ratio: 0.89
• Price to Book (P/B): 24.29
• Price to Sales (P/S): 12.64
• P/FCF Ratio: 37.41
• 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: 63 Neutral
• Price Target: ₹2,516.00 ▲(1.31% Upside)

GlaxoSmithKline Pharmaceuticals Limited's strong financial performance is the most significant factor, showcasing robust profitability and efficient cash flow management. However, the technical analysis indicates bearish momentum, and the high P/E ratio suggests potential overvaluation. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Balance Sheet Strength

Extremely low leverage and high ROE indicate durable financial flexibility. Substantial liquidity and a balanced capital structure support ongoing R&D, capital investments, and potential bolt-on acquisitions, reducing refinancing risk during regulatory or market cycles.

Cash Generation

Very strong free cash flow growth and conversion ratios above 1x demonstrate reliable cash generation. This underpins sustainable funding for drug development, manufacturing upgrades, dividends or share buybacks, and less dependence on external financing for strategic initiatives.

Profitability and Margins

High gross and operating margins reflect durable pricing power, efficient operations, and a favorable product mix. Sustained profitability enables long-term reinvestment in pipelines and commercialization, providing resilience against competitive and cost pressures in regulated markets.

Negative Factors

Regulatory / Pricing Exposure

Heavy reliance on regulated channels and tender-based sales creates a persistent structural risk: pricing controls and import/manufacturing cost swings can compress margins. Long-term profitability remains sensitive to policy changes and centralized procurement dynamics.

Moderate Top-line Growth

Reported revenue growth is modest, indicating limited organic expansion relative to high-growth peers. Over the medium term this may force reliance on margin improvement or portfolio moves to drive earnings, constraining the company’s ability to scale rapidly without M&A or new product launches.

Limited Investor Communication

Absence of earnings call disclosures and notable corporate events reduces transparency about pipeline progress, product performance, and management strategy. Structurally weaker communication can hinder investor assessment of execution and raise governance or information asymmetry concerns.

GlaxoSmithKline Pharmaceuticals Limited Business Overview & Revenue Model

Company Description

GlaxoSmithKline Pharmaceuticals Limited, a healthcare company, researches, develops, manufactures, and sells pharmaceutical medicines and vaccines in India and internationally. The company offers prescription and non-prescription drugs for anti-infective, respiratory, dermatology, nutrition, gastrointestinal, and rare diseases; and consumer healthcare products. It provides its product under the Augmentin, Calpol, Ceftum, Eltroxin, CCM, Neosporin, Betnovate, T-bact, Tenovate, Flutivate, Physiogel, Zimig, Cobadex CZS, Infanrix Hexa, Synflorix, Supacef, Havrix, Menveo, Boostrix, Fluarix Tetra, Varilrix, Nucala, and Trelegy Ellipta brands. The company was formerly known as SmithKline Beecham Pharmaceuticals India Ltd. and changed its name to GlaxoSmithKline Pharmaceuticals Limited in 2001. GlaxoSmithKline Pharmaceuticals Limited was incorporated in 1924 and is headquartered in Mumbai, India.

How the Company Makes Money

GLAXO generates revenue primarily through the sale of its pharmaceutical products, vaccines, and consumer healthcare items. The Pharmaceuticals segment contributes significantly to revenue through prescription drugs that treat various diseases and conditions. The Vaccines division profits from the distribution of immunizations globally, often supported by government contracts and public health initiatives. Additionally, the Consumer Healthcare sector provides over-the-counter products, which are sold directly to retailers and consumers. Key revenue streams include direct sales to hospitals and pharmacies, long-term agreements with healthcare providers, and collaborations with other pharmaceutical companies for joint research and product development. Strategic partnerships and licensing agreements further enhance revenue potential, allowing GLAXO to expand its market reach and innovate within the competitive healthcare landscape.

GlaxoSmithKline Pharmaceuticals Limited Financial Statement Overview

Summary

GlaxoSmithKline Pharmaceuticals Limited exhibits a strong financial profile with impressive revenue growth, robust profitability, and efficient cash flow management. The company maintains a solid balance sheet with low leverage and high liquidity, positioning it well for future opportunities and challenges in the pharmaceutical industry.

Income Statement

GlaxoSmithKline Pharmaceuticals Limited shows strong financial performance with a consistent increase in total revenue over the years. For the latest fiscal year, the company achieved a Gross Profit Margin of 62.88% and a Net Profit Margin of 24.74%, indicating healthy profitability. The Revenue Growth Rate was 8.92%, showcasing robust top-line growth. Additionally, the company reported a solid EBIT Margin of 47.45% and an EBITDA Margin of 31.40%, reflecting efficient operational management.

Balance Sheet

The balance sheet demonstrates a strong financial position with a low Debt-to-Equity Ratio of 0.005, suggesting minimal financial leverage. The Return on Equity (ROE) stands at 47.53%, indicating efficient use of equity to generate profits. The Equity Ratio of 47.50% highlights a balanced capital structure. The company maintains substantial liquidity, evidenced by significant cash reserves.

Cash Flow

The cash flow analysis reveals positive trends with a substantial Free Cash Flow Growth Rate of 129.96% in the latest fiscal year. The Operating Cash Flow to Net Income Ratio is 1.39, suggesting strong cash generation relative to net income. Additionally, the Free Cash Flow to Net Income Ratio is 1.37, reflecting robust cash flow management and the ability to support ongoing operations and investments.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	37.40B	37.49B	34.54B	32.52B	32.78B	29.26B
Gross Profit	23.33B	23.35B	20.99B	19.48B	19.00B	16.43B
EBITDA	11.82B	11.53B	8.81B	7.88B	7.43B	5.73B
Net Income	9.50B	9.28B	5.90B	6.11B	16.95B	3.58B
Balance Sheet
Total Assets	0.00	41.08B	35.57B	33.27B	46.33B	31.13B
Cash, Cash Equivalents and Short-Term Investments	24.98B	24.98B	18.57B	16.54B	29.03B	11.63B
Total Debt	0.00	99.50M	186.65M	155.40M	200.76M	346.27M
Total Liabilities	-19.51B	21.57B	17.79B	15.85B	19.70B	16.14B
Stockholders Equity	19.51B	19.51B	17.78B	17.41B	26.63B	14.78B
Cash Flow
Free Cash Flow	0.00	12.67B	5.51B	4.40B	7.76B	5.34B
Operating Cash Flow	0.00	12.90B	5.82B	4.84B	8.11B	5.78B
Investing Cash Flow	0.00	-458.10M	87.12M	8.08B	-4.06B	4.19B
Financing Cash Flow	0.00	-7.69B	-5.61B	-15.43B	-5.24B	-6.96B

GlaxoSmithKline Pharmaceuticals Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2483.35
• 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 IN:GLAXO, the sentiment is Neutral. The current price of 2483.35 is above the 20-day moving average (MA) of 2374.18, above the 50-day MA of 2461.93, and below the 200-day MA of 2796.36, indicating a neutral trend. The MACD of -30.08 indicates Negative momentum. The RSI at 49.78 is Neutral, neither overbought nor oversold. The STOCH value of 70.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:GLAXO.

GlaxoSmithKline Pharmaceuticals Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SUNPHARMA	73 Outperform	₹3.83T	35.06	―	0.91%	9.26%	-5.47%
LUPIN	72 Outperform	₹982.60B	22.71	―	0.57%	15.49%	64.37%
DRREDDY	70 Outperform	₹1.02T	17.97	―	0.63%	14.10%	9.72%
CIPLA	68 Neutral	₹1.07T	23.52	―	0.87%	6.93%	21.55%
TORNTPHARM	66 Neutral	₹1.34T	62.62	―	0.84%	9.11%	18.76%
GLAXO	63 Neutral	₹406.14B	42.52	―	2.16%	4.17%	41.51%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

GlaxoSmithKline Pharmaceuticals Limited Corporate Events

GSK Pharma Says Surge in Share Trading Volumes Is Market-Driven, Affirms Full Regulatory Compliance

GlaxoSmithKline Pharmaceuticals Limited has responded to queries from stock exchanges regarding a recent sharp increase in trading volumes of its shares, stating that it has fully complied with all disclosure requirements under SEBI’s listing regulations and has not withheld any material or price-sensitive information that could affect its operations or performance. The company emphasized that the spike in trading activity is purely market driven and reiterated its commitment to continue informing the exchanges of any future price-sensitive developments, aiming to reassure investors and regulators about the transparency of its disclosures and governance practices.

GSK Pharmaceuticals Faces GST Demand Order

GlaxoSmithKline Pharmaceuticals Limited has received an order from the Bihar Central GST authorities concerning a GST credit-related issue for the fiscal year 2021-22. The order demands a total of Rs. 52,52,988, including tax and penalty, due to a mismatch between the company’s GST returns and supplier-reported details. Despite this, the company reports no impact on its financial operations and is currently evaluating the demand order to determine appropriate actions.

GSK Pharmaceuticals Announces New VP for APAC Finance

GlaxoSmithKline Pharmaceuticals Limited has announced a significant leadership change with Mr. Juby Chandy taking over as Vice President, Finance for the Asia Pacific region effective December 1, 2025. This strategic appointment is expected to enhance the company’s financial leadership across Asia Pacific markets, ensuring continuity as Mr. Chandy will also remain Chief Financial Officer until a successor is appointed.