NATCO Pharma Limited (IN:NATCOPHARM)
:NATCOPHARM
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NATCO Pharma Limited
(NATCOPHARM)
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Rating:76Outperform
Price Target:
₹1,257.00
▲(40.71% Upside)
Action:ReiteratedDate:11/28/25
NATCO Pharma Limited's strong financial performance and positive technical indicators are the primary drivers of its stock score. The company shows robust revenue growth and profitability, supported by a solid balance sheet. Technical analysis indicates bullish momentum, although caution is advised due to near-overbought RSI levels. The valuation is attractive, making the stock appealing for potential investors.
Positive Factors
Low Leverage / Strong Balance Sheet
Very low financial leverage and a high equity ratio give NATCO durable financial flexibility to fund R&D, regulatory filings and capacity investments without heavy interest burden. The strong ROE (24.8%) indicates efficient capital use, supporting sustained shareholder returns and resilience to shocks.
Negative Factors
Declining Gross Profit & Rising Liabilities
A noted decline in gross profit paired with rising liabilities signals emerging margin stress and a potential erosion of the low-leverage cushion. If liabilities continue to grow, the company’s financial flexibility and ability to invest in new launches or capacity could be constrained longer term.
Read all positive and negative factors
Positive Factors
Negative Factors
Low Leverage / Strong Balance Sheet
Very low financial leverage and a high equity ratio give NATCO durable financial flexibility to fund R&D, regulatory filings and capacity investments without heavy interest burden. The strong ROE (24.8%) indicates efficient capital use, supporting sustained shareholder returns and resilience to shocks.
Read all positive factors
NATCO Pharma Limited (NATCOPHARM) vs. iShares MSCI India ETF (INDA)
Market Cap
₹199.10B
Dividend Yield0.57%
Average Volume (3M)59.22K
Price to Earnings (P/E)26.7
Beta (1Y)1.00
Revenue Growth-3.79%
EPS Growth-20.88%
CountryIN
Employees4,016
SectorHealthcare
Sector Strength45
IndustryDrug Manufacturers - Specialty & Generic
Share Statistics
EPS (TTM)8.46
Shares Outstanding179,109,860
10 Day Avg. Volume63,709
30 Day Avg. Volume59,218
Financial Highlights & Ratios
PEG Ratio0.21
Price to Book (P/B)1.90
Price to Sales (P/S)3.25
P/FCF Ratio10.10
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)40.12
Revenue Forecast (FY)₹31.85B
NATCO Pharma Limited Business Overview & Revenue Model
Company Description
NATCO Pharma Limited, a pharmaceutical company, develops, manufactures, and markets finished dosage formulations and active pharmaceutical ingredients (APIs). It offers formulations in various therapeutic areas, including cancers of blood, liver, ...
How the Company Makes Money
NATCO Pharma makes money mainly by selling pharmaceutical products and by monetizing intellectual property/market access through partnerships. Key revenue streams typically include: (1) Formulations sales: Revenue from finished dosage medicines so...
NATCO Pharma Limited Financial Statement Overview
Summary
Income Statement
85
Very Positive
Balance Sheet
78
Positive
Cash Flow
82
Very Positive
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 43.90B | 44.32B | 40.02B | 27.09B | 19.46B | 20.56B |
| Gross Profit | 36.18B | 37.05B | 32.53B | 20.54B | 13.62B | 15.24B |
| EBITDA | 18.48B | 21.44B | 17.51B | 9.67B | 2.60B | 6.07B |
| Net Income | 15.39B | 18.85B | 13.88B | 7.15B | 1.70B | 4.41B |
Balance Sheet | ||||||
| Total Assets | 104.30B | 86.31B | 69.06B | 56.57B | 51.09B | 47.92B |
| Cash, Cash Equivalents and Short-Term Investments | 40.77B | 24.97B | 17.78B | 11.25B | 7.60B | 8.18B |
| Total Debt | 2.61B | 2.79B | 3.86B | 1.76B | 4.32B | 2.84B |
| Total Liabilities | 17.76B | 10.19B | 10.53B | -34.80B | 8.46B | 6.68B |
| Stockholders Equity | 86.50B | 76.07B | 58.53B | 48.74B | 42.64B | 41.22B |
Cash Flow | ||||||
| Free Cash Flow | 10.10B | 14.28B | 8.72B | 6.43B | -1.96B | 442.00M |
| Operating Cash Flow | 11.91B | 16.97B | 12.12B | 8.49B | 465.00M | 2.99B |
| Investing Cash Flow | -11.89B | -14.14B | -10.33B | -4.77B | -53.00M | -1.03B |
| Financing Cash Flow | -765.00M | -2.11B | -2.47B | -3.63B | 348.00M | -1.86B |
NATCO Pharma Limited Technical Analysis
Positive
893.35
Price Trends
925.35
Positive
904.44
Positive
893.19
Positive
Market Momentum
33.87
Negative
73.46
Negative
93.49
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:NATCOPHARM, the sentiment is Positive. The current price of 893.35 is below the 20-day moving average (MA) of 991.38, below the 50-day MA of 925.35, and above the 200-day MA of 893.19, indicating a bullish trend. The MACD of 33.87 indicates Negative momentum. The RSI at 73.46 is Negative, neither overbought nor oversold. The STOCH value of 93.49 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:NATCOPHARM.
NATCO Pharma Limited Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | ₹199.10B | 26.69 | ― | 0.57% | -3.79% | -20.88% | |
71 Outperform | ₹79.15B | 18.03 | ― | 0.44% | 14.80% | 1.35% | |
66 Neutral | ₹129.09B | 46.21 | ― | 0.22% | 9.91% | 9.57% | |
62 Neutral | ₹139.80B | 76.03 | ― | 0.46% | 10.09% | -19.40% | |
53 Neutral | ₹613.60B | 35.61 | ― | 0.24% | 30.27% | ― | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
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NATCO Pharma Limited Corporate Events
Natco Pharma plays down impact of Eris semaglutide deal after NSE query
Feb 25, 2026
Natco Pharma has clarified to the National Stock Exchange that its partnership with Eris Lifesciences for the weight-loss drug semaglutide follows the recent approval of the product by the Central Drugs Standard Control Organisation in India. The ...
NATCO Pharma Publishes Postal Ballot Notice in Newspapers and Online
Feb 21, 2026
NATCO Pharma Limited has notified the stock exchanges that it has published a notice of postal ballot in the newspapers Financial Express and Nava Telangana on February 21, 2026, in line with Regulation 47 of SEBI’s Listing Obligations and D...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.