Marksans Pharma Limited (MARKSANS) AI Stock Analysis

• Market Cap: ₹74.07B
• Dividend Yield: 0.44%
• Average Volume (3M): 99.03K
• Price to Earnings (P/E): 20.7
• Beta (1Y): 1.70
• Revenue Growth: 14.80%
• EPS Growth: 1.35%
• Country: IN
• Employees: 1,141
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - General
• EPS (TTM): 2.20
• Shares Outstanding: 453,163,760
• 10 Day Avg. Volume: 119,310
• 30 Day Avg. Volume: 99,030
• PEG Ratio: 1.24
• Price to Book (P/B): 4.08
• Price to Sales (P/S): 3.83
• P/FCF Ratio: 298.02
• 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: 70 Neutral
• Price Target: ₹177.00 ▼(-2.77% Downside)

Marksans Pharma Limited's overall stock score is driven primarily by its strong financial performance, characterized by robust revenue growth and solid profit margins. However, technical analysis indicates potential bearish trends, and the valuation suggests the stock is fairly valued with a low dividend yield. The absence of earnings call data and notable corporate events means these factors do not influence the score.

Positive Factors

Strong revenue growth and healthy margins

Sustained double-digit revenue growth and high gross and net margins indicate durable product economics and pricing power. Robust margins support reinvestment in R&D, market expansion and buffer against margin pressure, underpinning long-term profitability and scaling.

Low leverage and solid equity base

A strong equity ratio and minimal debt provide financial resilience and optionality for strategic moves. Low leverage reduces refinancing and interest risks, enabling capital allocation toward growth or M&A without threatening solvency over a multiyear horizon.

Improved free cash flow from efficient capex

Significant FCF improvement signals better capex discipline or working capital management, enhancing funding for debt reduction, product launches or shareholder returns. Strong FCF supports long-term strategic flexibility despite OCF variability.

Negative Factors

Operating cash flow weakness and volatility

A decline in operating cash flow and OCF conversion below 1.0 indicate earnings are not fully converting to cash, reflecting working-capital or collection pressures. Persistent OCF weakness can constrain organic funding for growth and increase reliance on external financing.

Rising liabilities warrant monitoring

Although leverage is low today, a trend of increasing liabilities could erode the strong equity base and reduce financial flexibility. If liabilities grow faster than cash generation, interest and covenant risk could rise, limiting investment and strategic options.

Revenue dependence on regulatory approvals and partner orders

Business relies on timely regulatory approvals and partner/distributor purchase orders for launches in higher-value markets. This creates structural timing and execution risk: approval delays or partner failures can materially affect future revenue streams and growth visibility.

Marksans Pharma Limited Business Overview & Revenue Model

Company Description

Marksans Pharma Limited, together with its subsidiaries, engages in the research and development, manufacturing, marketing, distribution, and sale of generic pharmaceutical formulations worldwide. The company offers products in the analgesics, benign prostatic hyperplasia, antidiabetic, epilepsy, anti-inflammatory, hyperparathyroidism, diabetes, antacids, neurology, cardiovascular, hormonal, oncology, gastroenterology, antidiabetic, pain management, gynecology, antibiotic, antifungal, antiulceratives, vitamins, dermatology, cephalosporins, injectables, anti-allergy, antibacterial, and hypertension therapeutic areas. It also provides contract research and manufacturing services. Marksans Pharma Limited was incorporated in 1992 and is headquartered in Mumbai, India.

How the Company Makes Money

Marksans Pharma generates revenue through multiple streams, primarily from the sale of generic pharmaceuticals and OTC products. The company's revenue model is based on manufacturing and distributing prescription medications to healthcare providers, hospitals, and pharmacies, both in domestic and international markets. Significant revenue comes from its operations in regulated markets such as the United States, Europe, and Australia, where it offers a range of generic drugs that compete with branded counterparts. Additionally, Marksans engages in contract manufacturing for other pharmaceutical companies, providing a steady income stream. Strategic partnerships with global healthcare providers and distributors further enhance its market reach and sales. The company also invests in R&D to develop new formulations and expand its product lines, which is essential for maintaining competitiveness and driving future revenue growth.

Marksans Pharma Limited Financial Statement Overview

Summary

Marksans Pharma Limited demonstrates robust financial health with strong revenue growth, impressive profit margins, and a solid balance sheet with low leverage. While cash flow from operations has decreased, efficient capital expenditure management has led to increased free cash flow. The company's overall financial position is strong, with impressive profitability and stability, although monitoring cash flow volatility is advisable.

Income Statement

Marksans Pharma Limited shows a strong revenue growth trajectory with a 20.45% increase from the previous year. The Gross Profit Margin remains solid at 56.38% for the latest period, indicating effective cost management. The Net Profit Margin also improved to 14.51%, reflecting enhanced profitability. Margins such as EBIT at 43.04% and EBITDA at 20.15% showcase operational efficiency. Overall, the income statement indicates a strong financial performance with robust growth and profitability.

Balance Sheet

The balance sheet reflects a healthy financial position with a strong Equity Ratio of 76.14%, suggesting a low reliance on debt for financing. The Debt-to-Equity Ratio remains low at 0.13, indicating minimal financial leverage. Return on Equity (ROE) stands at 15.42%, showing good returns to shareholders. The company's stability is further reinforced by a substantial stockholders' equity base, though the moderate increase in total liabilities warrants attention.

Cash Flow

Cash flow statements reveal a noticeable decrease in Operating Cash Flow by 10.28% compared to the previous year. However, Free Cash Flow saw a significant increase by 56.44%, indicating improved cash management despite lower operating cash flow. The Operating Cash Flow to Net Income Ratio of 0.54 suggests some volatility in cash generation relative to profits. Overall, cash flow performance is solid but highlights areas for potential improvement in cash generation from operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	26.52B	26.23B	21.77B	18.52B	14.80B	13.68B
Gross Profit	15.08B	14.79B	11.03B	9.31B	7.32B	7.50B
EBITDA	5.43B	5.29B	5.09B	3.99B	3.01B	3.46B
Net Income	3.50B	3.81B	3.14B	2.66B	1.85B	2.39B
Balance Sheet
Total Assets	0.00	32.40B	26.81B	21.90B	16.40B	12.28B
Cash, Cash Equivalents and Short-Term Investments	7.06B	7.05B	7.00B	7.19B	3.47B	2.12B
Total Debt	0.00	3.22B	2.44B	1.23B	1.11B	341.02M
Total Liabilities	-24.89B	7.50B	5.95B	4.25B	4.17B	3.23B
Stockholders Equity	24.89B	24.67B	20.65B	17.45B	12.02B	8.86B
Cash Flow
Free Cash Flow	0.00	337.45M	215.69M	1.84B	529.27M	1.32B
Operating Cash Flow	0.00	2.07B	2.30B	2.37B	992.57M	1.79B
Investing Cash Flow	0.00	-490.09M	-1.41B	-2.59B	-416.86M	-448.96M
Financing Cash Flow	0.00	-651.46M	-687.27M	1.98B	795.11M	-152.86M

Marksans Pharma Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 182.05
• 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:MARKSANS, the sentiment is Negative. The current price of 182.05 is above the 20-day moving average (MA) of 170.74, above the 50-day MA of 180.20, and below the 200-day MA of 204.02, indicating a bearish trend. The MACD of -5.27 indicates Positive momentum. The RSI at 33.75 is Neutral, neither overbought nor oversold. The STOCH value of 28.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MARKSANS.

Marksans Pharma Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AUROPHARMA	74 Outperform	₹704.11B	19.53	―	0.33%	7.33%	-3.79%
IPCALAB	74 Outperform	₹372.69B	45.21	―	0.28%	9.66%	25.79%
DRREDDY	70 Outperform	₹1.02T	17.82	―	0.63%	14.10%	9.72%
MARKSANS	70 Neutral	₹74.07B	20.75	―	0.44%	14.80%	1.35%
LAURUSLABS	66 Neutral	₹521.02B	62.18	―	0.15%	25.83%	421.20%
GLENMARK	53 Neutral	₹569.17B	52.64	―	0.24%	30.27%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Marksans Pharma Limited Corporate Events

Marksans Pharma Expands Global Footprint With New Subsidiaries in Europe and Canada

Marksans Pharma Limited has strengthened its international footprint by incorporating two new wholly owned subsidiaries: Marksans Pharma (Europe) Limited in Ireland and Marksans (Canada) Inc. in Canada. Both entities, newly formed and without prior turnover, have been set up to conduct pharmaceutical business in their respective regions, signalling a strategic push to deepen Marksans’ presence in key regulated markets and potentially enhance its global distribution, regulatory alignment and market access in Europe and North America.

Marksans Pharma’s UK Subsidiary Gains MHRA Approval for Mefenamic Acid Tablets

Marksans Pharma Limited announced that its UK-based wholly owned subsidiary, Relonchem Limited, has received Marketing Authorization from the UK MHRA for its Mefenamic Acid 250 mg and 500 mg Film-Coated Tablets. This authorization is expected to enhance Marksans Pharma’s market presence in the UK and potentially boost its operational capabilities and market positioning in the pharmaceutical industry.

Marksans Pharma Releases Unaudited Financial Results for September 2025

Marksans Pharma Limited has announced its unaudited financial results for the quarter and half year ending September 30, 2025, which were approved by the Board of Directors. The results, reviewed by the statutory auditors with an unmodified opinion, reflect the company’s ongoing financial performance and are available on their website, indicating transparency and compliance with regulatory standards.

Marksans Pharma Advocates Integrity in Vigilance Awareness Week 2025

Marksans Pharma Limited has announced its participation in the Vigilance Awareness Week 2025, aligning with the Central Vigilance Commission’s initiative to promote integrity and transparency. The company is urging all its stakeholders, including shareholders, to take an e-pledge to combat corruption and uphold high standards of governance, reflecting its dedication to ethical practices and stakeholder engagement.

Marksans Pharma’s UK Subsidiary Gains Approval for Exemestane Tablets

Marksans Pharma Limited announced that its UK-based subsidiary, Relonchem Limited, has received Marketing Authorization from the UK MHRA for its Exemestane 25mg film-coated tablets. This authorization marks a significant step for Marksans Pharma, potentially enhancing its market position in the UK and expanding its product offerings in the oncology segment, thereby benefiting stakeholders by broadening the company’s reach in the pharmaceutical industry.