Lupin Limited (LUPIN) AI Stock Analysis

• Market Cap: ₹996.48B
• Dividend Yield: 0.57%
• Average Volume (3M): 25.39K
• Price to Earnings (P/E): 23.0
• Beta (1Y): 0.69
• Revenue Growth: 15.49%
• EPS Growth: 64.37%
• Country: IN
• Employees: 19,210
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 32.28
• Shares Outstanding: 456,798,800
• 10 Day Avg. Volume: 23,417
• 30 Day Avg. Volume: 25,387
• PEG Ratio: 0.38
• Price to Book (P/B): 5.20
• Price to Sales (P/S): 3.94
• P/FCF Ratio: 67.94
• 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: ₹2,470.00
• Price Target Upside: 27.40% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: ₹2,172.00 ▲(12.03% Upside)

Lupin Limited's overall stock score reflects its strong financial performance and fair valuation, tempered by mixed technical indicators. The company's robust revenue growth and profitability are significant positives, while the technical analysis suggests caution due to bearish momentum signals.

Positive Factors

Revenue Growth

Consistent revenue growth and improved margins indicate a strong market position and effective cost management, supporting long-term profitability.

Balance Sheet Health

A strong equity base and moderate leverage provide financial stability and flexibility, enabling the company to invest in growth opportunities.

Profitability

High profit margins reflect efficient operations and strong pricing power, which are crucial for sustaining long-term profitability.

Negative Factors

Cash Flow Challenges

Challenges in cash flow conversion could impact the company's ability to reinvest in growth and meet financial obligations, affecting long-term stability.

Cash Conversion

Inefficient cash conversion may limit the company's capacity to fund new projects and return capital to shareholders, impacting future growth.

Cash Flow Management

While operational cash generation is adequate, improving cash flow management is essential to enhance liquidity and support strategic initiatives.

Lupin Limited Business Overview & Revenue Model

Company Description

Lupin Limited is a global pharmaceutical company based in India, primarily engaged in the development, manufacturing, and marketing of a wide range of generic and branded medications. The company operates in various sectors, including pharmaceuticals, biotechnology, and specialty products, with a strong focus on therapeutic areas such as cardiovascular, diabetes, asthma, and infectious diseases. Lupin's core products include generic formulations, active pharmaceutical ingredients (APIs), and biosimilars that cater to both domestic and international markets.

How the Company Makes Money

Lupin Limited generates revenue through multiple key streams, including the sales of generic pharmaceuticals, branded formulations, and active pharmaceutical ingredients (APIs). A significant portion of the company's income comes from its generic drug portfolio, which includes a variety of medications that are sold at lower prices than their branded counterparts. Additionally, Lupin has a growing presence in the biosimilars market, which contributes to its revenue. The company also engages in strategic partnerships and collaborations with other pharmaceutical firms and research organizations, enhancing its R&D capabilities and expanding its product offerings. Furthermore, international markets, particularly in the United States and Europe, play a crucial role in Lupin's revenue generation, as the company focuses on obtaining approvals for new products and increasing its market share in these regions.

Lupin Limited Financial Statement Overview

Summary

Lupin Limited demonstrates strong financial performance with robust revenue growth, high profitability margins, and a stable balance sheet. The company shows efficient cost management and operational efficiency, though cash flow conversion could be improved.

Income Statement

Lupin Limited has demonstrated strong revenue growth over recent years, with significant improvements in both gross and net profit margins. The gross profit margin for 2025 was 48.9%, indicating efficient cost management, while the net profit margin stood at 14.8%, reflecting strong profitability. Moreover, the company achieved a robust revenue growth rate of 12.9% from 2024 to 2025. The EBIT and EBITDA margins were also healthy at 20.1% and 24.7%, respectively, showcasing operational efficiency. The positive trajectory in these metrics highlights strong financial performance.

Balance Sheet

The balance sheet of Lupin Limited shows a solid equity base with a debt-to-equity ratio of 0.32, indicating moderate leverage. The return on equity (ROE) is impressive at 19.1%, showcasing efficient utilization of equity to generate profits. The equity ratio is healthy at 58.9%, pointing to a strong equity position relative to total assets. While the overall stability is good, potential risks could arise if debt levels increase significantly.

Cash Flow

Lupin Limited's cash flow statement reflects a positive free cash flow growth rate of -51.6% from 2024 to 2025, highlighting some challenges in cash generation. However, the operating cash flow to net income ratio of 0.91 suggests that the company is generating sufficient cash from operations relative to its earnings. The free cash flow to net income ratio stands at 0.40, indicating room for improvement in converting profits into free cash flow. While cash flow management appears stable, enhanced cash conversion could further strengthen financial positioning.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	233.76B	227.08B	200.11B	166.42B	164.05B	151.63B
Gross Profit	159.68B	153.27B	128.99B	94.10B	95.05B	94.18B
EBITDA	53.87B	50.51B	36.27B	15.73B	19.66B	25.24B
Net Income	36.99B	32.82B	19.14B	4.30B	-15.28B	12.17B
Balance Sheet
Total Assets	0.00	292.05B	239.97B	229.56B	218.21B	236.10B
Cash, Cash Equivalents and Short-Term Investments	29.90B	42.01B	21.79B	19.52B	21.04B	41.11B
Total Debt	0.00	54.48B	29.22B	45.42B	41.58B	51.29B
Total Liabilities	-172.94B	119.11B	96.24B	104.13B	95.99B	97.52B
Stockholders Equity	172.94B	172.03B	142.90B	124.64B	121.53B	138.03B
Cash Flow
Free Cash Flow	0.00	13.18B	27.19B	3.98B	-5.38B	11.44B
Operating Cash Flow	0.00	30.00B	36.48B	18.97B	3.67B	18.22B
Investing Cash Flow	0.00	-41.72B	-17.12B	-12.87B	12.92B	-12.40B
Financing Cash Flow	0.00	17.32B	-21.84B	-3.37B	-15.72B	-18.85B

Lupin Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1938.85
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:LUPIN, the sentiment is Positive. The current price of 1938.85 is below the 20-day moving average (MA) of 2120.48, below the 50-day MA of 2069.75, and below the 200-day MA of 1992.64, indicating a bullish trend. The MACD of 28.26 indicates Negative momentum. The RSI at 63.20 is Neutral, neither overbought nor oversold. The STOCH value of 80.22 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:LUPIN.

Lupin Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DRREDDY	74 Outperform	₹1.01T	17.21	―	0.63%	14.10%	9.72%
LUPIN	72 Outperform	₹996.48B	23.03	―	0.57%	15.49%	64.37%
ZYDUSLIFE	72 Outperform	₹900.53B	18.30	―	1.19%	14.01%	14.62%
CIPLA	68 Neutral	₹1.18T	21.76	―	0.87%	6.93%	21.55%
TORNTPHARM	66 Neutral	₹1.34T	62.67	―	0.84%	9.11%	18.76%
MANKIND	59 Neutral	₹908.07B	51.56	―	0.04%	23.22%	-19.19%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Lupin Limited Corporate Events

Lupin and PolyPeptide Forge Alliance to Boost Global Peptide Supply Chain

Lupin Manufacturing Solutions, a subsidiary of Lupin Limited, has announced a strategic alliance with PolyPeptide Group AG to enhance the global peptide supply chain. This collaboration aims to improve supply chain resilience, operational efficiency, and readiness for the growing peptides market, particularly in metabolic disease therapies. The partnership strengthens LMS’s position as a leading CDMO supplier and enhances PolyPeptide’s role as a trusted partner, ensuring reliable access to specialized materials for large-scale production and supporting the strategic growth of both companies.

Lupin Limited Gains U.S. FDA Approval for First Biosimilar, Armlupeg

Lupin Limited announced that it has received approval from the U.S. FDA for its biosimilar product, Armlupeg (pegfilgrastim-unne), marking its first biosimilar approval. This product, intended to decrease infection incidence in certain cancer patients and increase survival in radiation-exposed patients, will be manufactured at Lupin’s Pune facility. The approval signifies a significant step in Lupin’s strategy to provide affordable and accessible medicines in the U.S., enhancing its biosimilar portfolio and strengthening its market position. The biosimilar market is lucrative, with the pegfilgrastim market alone valued at USD 1,295 million annually in the U.S., indicating potential for substantial revenue growth and impact on stakeholders.

Lupin Limited Faces FDA Inspection Observations at Goa Facility

Lupin Limited announced that the U.S. FDA conducted an inspection at its manufacturing facility in Goa, India, resulting in a Form-483 with seven observations. The company is committed to addressing these observations and maintaining compliance with CGMP standards, which is crucial for its operational integrity and market reputation.

Lupin Launches First PrecisionSphere™ Product in U.S. with Risperidone Injectable

Lupin Limited has launched Risperidone for extended-release injectable suspension in the U.S., marking the first product from its proprietary PrecisionSphere™ platform. This launch, supported by a 180-day CGT exclusivity, underscores Lupin’s commitment to expanding its portfolio of complex injectables and enhancing global access to advanced long-acting treatments. The product is bioequivalent to Risperdal Consta® and is used for treating schizophrenia and bipolar I disorder, with significant market potential in the U.S.

Lupin Limited Receives U.S. FDA Approval for Aurangabad Facility

Lupin Limited announced that it has received the Establishment Inspection Report (EIR) from the U.S. FDA for its Aurangabad facility after a product-specific Pre-Approval Inspection. This achievement highlights Lupin’s dedication to maintaining high standards of quality and compliance, reinforcing its reputation as a trusted provider of healthcare solutions globally. The receipt of the EIR is a significant milestone for Lupin, potentially enhancing its operational capabilities and market positioning, particularly in the U.S., which is a critical market for the company.

Lupin Bioresearch Center Achieves Zero Observations from U.S. FDA

Lupin Limited announced that its Bioresearch Center in Pune received zero observations from the U.S. FDA following a successful inspection and assessment. This outcome underscores Lupin’s commitment to quality and compliance, enhancing its reputation in the pharmaceutical industry and potentially strengthening its market position.

Lupin Limited Launches Generic Version of Ravicti® in U.S.

Lupin Limited has launched an authorized generic version of Ravicti® (Glycerol Phenylbutyrate) Oral Liquid, 1.1g/mL, in the United States, aimed at managing urea cycle disorders (UCDs) in patients who cannot be managed by dietary protein restriction and/or amino acid supplementation alone. This strategic move is expected to enhance Lupin’s presence in the U.S. pharmaceutical market, potentially increasing its market share and providing a cost-effective treatment option for patients with UCDs.

Lupin Limited’s New Jersey Facility Undergoes FDA Inspection

Lupin Limited announced that the U.S. FDA conducted a Pre-Approval Inspection at its Somerset, New Jersey manufacturing facility, which concluded with one observation. The company is committed to addressing the observation promptly to ensure compliance with CGMP standards, reflecting its dedication to maintaining high-quality manufacturing practices.

Lupin’s Pithampur Facility Receives OAI Classification from U.S. FDA

Lupin Limited announced that the U.S. FDA has classified its Pithampur Unit-2 manufacturing facility inspection as ‘Official Action Indicated’ (OAI) following an earlier inspection that resulted in a Form-483 with four observations. The company is actively working with the FDA to address the compliance issues and ensure adherence to CGMP standards across all its facilities. This development may have implications for Lupin’s operations and its standing in the pharmaceutical industry, particularly in the U.S. market.