Solara Active Pharma Sciences Ltd. (IN:SOLARA)
:SOLARA
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Solara Active Pharma Sciences Ltd.
(SOLARA)
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Rating:54Neutral
Price Target:
₹481.00
▼(-17.47% Downside)
Action:ReiteratedDate:02/07/26
The score is held up mainly by improving operating performance and notably stronger free cash flow, but is capped by extremely weak net profitability/ROE and bearish technicals (below major DMAs with negative MACD). Valuation is also a modest drag due to a negative P/E and no dividend support.
Positive Factors
Improving operating margins & FCF
Core operations exhibit durable improvement: gross margin of 51.2% and EBIT margin rebound to 34.7% indicate structural cost competitiveness in API manufacture. Coupled with 155% FCF growth, the business has greater ability to fund capex, compliance and debt reduction without relying on external capital.
Negative Factors
Very weak net profitability and ROE
Despite operational margin recovery, negligible net margin and ROE near zero indicate persistent non‑operational drains or inefficiencies. Long‑term shareholder value is constrained if the company cannot convert operating strength into sustainable net profits and returns on equity.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving operating margins & FCF
Core operations exhibit durable improvement: gross margin of 51.2% and EBIT margin rebound to 34.7% indicate structural cost competitiveness in API manufacture. Coupled with 155% FCF growth, the business has greater ability to fund capex, compliance and debt reduction without relying on external capital.
Read all positive factors
Solara Active Pharma Sciences Ltd. (SOLARA) vs. iShares MSCI India ETF (INDA)
Market Cap
₹22.89B
Dividend YieldN/A
Average Volume (3M)37.94K
Price to Earnings (P/E)―
Beta (1Y)1.11
Revenue Growth-4.18%
EPS GrowthN/A
CountryIN
Employees2,156
SectorHealthcare
Sector Strength45
IndustryDrug Manufacturers - Specialty & Generic
Share Statistics
EPS (TTM)-3.92
Shares Outstanding48,171,562
10 Day Avg. Volume26,889
30 Day Avg. Volume37,944
Financial Highlights & Ratios
PEG Ratio-36.57
Price to Book (P/B)1.81
Price to Sales (P/S)1.54
P/FCF Ratio11.43
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)31.4
Revenue Forecast (FY)₹17.95B
Solara Active Pharma Sciences Ltd. Business Overview & Revenue Model
Company Description
Solara Active Pharma Sciences Limited manufactures, produces, processes, formulates, sells, imports, exports, merchandises, distributes, trades in, and deals in active pharmaceutical ingredients (API) in India. The company offers APIs for anesthet...
How the Company Makes Money
Solara generates revenue through multiple streams including the sale of Active Pharmaceutical Ingredients (APIs) to pharmaceutical companies, contract manufacturing services, and exports to various international markets. The company's revenue mode...
Solara Active Pharma Sciences Ltd. Financial Statement Overview
Summary
Income Statement
55
Neutral
Balance Sheet
60
Neutral
Cash Flow
70
Positive
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 12.06B | 12.84B | 12.89B | 14.27B | 12.68B | 15.97B |
| Gross Profit | 6.53B | 6.57B | -1.30B | 1.25B | 5.60B | 3.81B |
| EBITDA | 2.04B | 2.06B | -2.82B | 1.52B | 793.30M | 4.14B |
| Net Income | 64.10M | 5.40M | -5.67B | -221.70M | -581.50M | 2.21B |
Balance Sheet | ||||||
| Total Assets | 22.93B | 22.32B | 23.51B | 28.99B | 29.53B | 26.14B |
| Cash, Cash Equivalents and Short-Term Investments | 169.30M | 41.10M | 84.40M | 87.30M | 463.80M | 1.98B |
| Total Debt | 6.46B | 7.96B | 10.12B | 10.13B | 10.37B | 6.21B |
| Total Liabilities | 10.36B | 11.35B | 14.14B | 13.97B | 14.18B | 10.21B |
| Stockholders Equity | 12.55B | 10.94B | 9.34B | 15.00B | 15.25B | 15.89B |
Cash Flow | ||||||
| Free Cash Flow | 454.60M | 1.73B | 678.10M | 449.40M | -4.51B | -190.20M |
| Operating Cash Flow | 740.60M | 2.13B | 1.09B | 1.56B | -2.42B | 1.55B |
| Investing Cash Flow | -273.60M | -368.30M | -35.10M | -811.40M | -2.43B | -1.06B |
| Financing Cash Flow | -469.60M | -1.80B | -1.06B | -1.13B | 3.34B | 924.90M |
Solara Active Pharma Sciences Ltd. Technical Analysis
Neutral
582.80
Price Trends
476.97
Negative
518.83
Negative
570.62
Negative
Market Momentum
-6.93
Negative
55.98
Neutral
60.18
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SOLARA, the sentiment is Neutral. The current price of 582.8 is above the 20-day moving average (MA) of 448.55, above the 50-day MA of 476.97, and above the 200-day MA of 570.62, indicating a neutral trend. The MACD of -6.93 indicates Negative momentum. The RSI at 55.98 is Neutral, neither overbought nor oversold. The STOCH value of 60.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:SOLARA.
Solara Active Pharma Sciences Ltd. Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | ₹36.41B | 29.96 | ― | 0.13% | 11.91% | 36.92% | |
58 Neutral | ₹17.78B | 38.37 | ― | 0.38% | 11.51% | 21.56% | |
57 Neutral | ₹20.81B | 20.54 | ― | 0.49% | -0.29% | -29.04% | |
54 Neutral | ₹23.98B | 205.09 | ― | 0.92% | ― | ― | |
54 Neutral | ₹22.89B | -36.05 | ― | ― | -4.18% | ― | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
51 Neutral | ₹19.78B | 144.78 | ― | ― | 9.78% | 50.78% |
* Healthcare Sector Average
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Solara Active Pharma Sciences Ltd. Corporate Events
Solara Active Pharma Sciences Seeks Shareholder Nod to Appoint New Executive Director via Postal Ballot
Feb 4, 2026
Solara Active Pharma Sciences Ltd. has initiated a postal ballot process to seek shareholder approval for the appointment of Mohanraj Sanjeevi as a Whole-time (Executive) Director of the company. The postal ballot, conducted entirely through elect...
Solara Issues Second Reminder for First Call Payment on Rights Shares
Feb 4, 2026
Solara Active Pharma Sciences Ltd. has dispatched a second reminder notice to shareholders who have not yet paid the first call money on partly paid-up equity shares allotted under its ongoing rights issue. The company has sent these reminders ele...
Solara Active Pharma Sciences Addresses Surge in Trading Volume
Dec 4, 2025
Solara Active Pharma Sciences Limited has experienced a significant increase in the volume of its securities across exchanges. In response to an inquiry from the National Stock Exchange of India, the company clarified that it has complied with all...
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.