Sun Pharma Advanced Research Co. Ltd. (SPARC) AI Stock Analysis

• Market Cap: ₹42.12B
• Dividend Yield: N/A
• Average Volume (3M): 24.00K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.54
• Revenue Growth: -5.57%
• EPS Growth: 23.03%
• Country: IN
• Employees: 409
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -1.60
• Shares Outstanding: 324,521,580
• 10 Day Avg. Volume: 27,089
• 30 Day Avg. Volume: 24,005
• PEG Ratio: 1.20
• Price to Book (P/B): -21.89
• Price to Sales (P/S): 66.17
• P/FCF Ratio: -12.81
• 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: ₹137.00
• Price Target Upside: 5.55% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 41 Neutral
• Price Target: ₹137.00 ▲(5.55% Upside)

The overall stock score is primarily influenced by significant financial challenges, including negative profitability, high leverage, and cash flow constraints. Technical analysis indicates bearish momentum, while valuation metrics reflect ongoing financial difficulties. The absence of earnings call data and corporate events leaves these factors unaddressed.

Sun Pharma Advanced Research Co. Ltd. Business Overview & Revenue Model

Company Description

Sun Pharma Advanced Research Company Ltd. (SPARC) is a pharmaceutical research and development company focused on creating novel drug delivery systems and new chemical entities. Operating within the pharmaceutical and healthcare sectors, SPARC is dedicated to advancing innovative therapies to address unmet medical needs. The company's core activities include the development of proprietary technology platforms and conducting clinical trials to bring new drugs to market.

How the Company Makes Money

SPARC generates revenue primarily through the licensing of its proprietary drug delivery technologies and new chemical entities to pharmaceutical companies. These licensing agreements typically involve upfront payments, milestone payments, and royalties on sales of the products developed using SPARC's technologies. Additionally, SPARC may engage in collaborative research partnerships which can provide funding and shared resources to further drug development projects. The company's revenue streams are significantly influenced by the successful advancement of its R&D pipeline, regulatory approvals, and the commercial success of its licensed products.

Sun Pharma Advanced Research Co. Ltd. Financial Statement Overview

Summary

Sun Pharma Advanced Research Co. Ltd. faces significant financial challenges, including persistent profitability issues, negative equity, and high leverage. The income statement shows inconsistent revenue and profitability, while the balance sheet highlights potential insolvency risks. Cash flow constraints further exacerbate the company's financial instability.

Income Statement

Sun Pharma Advanced Research Co. Ltd. has experienced persistently negative EBIT and net income over the years, indicating significant profitability challenges. The gross profit margin is also volatile, with recent improvements not sufficient to offset historical losses. Revenue growth has been inconsistent, with declines in recent periods highlighting operational difficulties. Overall, the income statement reflects substantial profitability issues and inconsistent revenue performance.

Balance Sheet

The company's balance sheet shows a concerning financial structure with negative stockholders' equity, indicating potential insolvency risks. The debt-to-equity ratio cannot be calculated due to negative equity, but high levels of total debt relative to assets demonstrate significant leverage. Assets have decreased over time, suggesting potential liquidity constraints. Overall, the balance sheet highlights critical leverage and equity challenges, posing risks to financial stability.

Cash Flow

Sun Pharma Advanced Research Co. Ltd. has faced negative operating and free cash flows consistently, indicating cash constraints and operational inefficiencies. There is a lack of positive cash flow from operations, leading to reliance on external financing. Despite some improvements in cash management, the persistent negative free cash flow underscores ongoing cash flow challenges, affecting the company's ability to sustain operations without additional funding.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	646.00M	717.70M	755.45M	2.39B	1.37B	2.53B
Gross Profit	927.40M	486.50M	-1.24B	821.21M	105.52M	465.55M
EBITDA	-2.72B	-3.23B	-3.73B	-2.03B	-1.80B	-1.30B
Net Income	-2.98B	-3.43B	-3.87B	-2.23B	-2.03B	-1.51B
Balance Sheet
Total Assets	0.00	3.36B	5.15B	8.30B	2.80B	2.30B
Cash, Cash Equivalents and Short-Term Investments	19.64M	19.60M	1.57B	4.07B	128.89M	157.30M
Total Debt	0.00	2.69B	611.51M	156.70M	792.14M	2.36B
Total Liabilities	2.17B	5.52B	3.89B	3.17B	2.49B	3.98B
Stockholders Equity	-2.17B	-2.17B	1.26B	5.13B	312.26M	-1.68B
Cash Flow
Free Cash Flow	0.00	-3.71B	-4.56B	-845.10M	-2.41B	-1.58B
Operating Cash Flow	0.00	-3.60B	-4.29B	-691.20M	-2.08B	-1.52B
Investing Cash Flow	0.00	1.58B	3.92B	-5.48B	-291.67M	15.62M
Financing Cash Flow	0.00	1.99B	424.05M	6.17B	2.29B	1.59B

Sun Pharma Advanced Research Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 129.80
• 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:SPARC, the sentiment is Negative. The current price of 129.8 is below the 20-day moving average (MA) of 133.04, below the 50-day MA of 139.32, and below the 200-day MA of 151.84, indicating a bearish trend. The MACD of -2.93 indicates Negative momentum. The RSI at 38.56 is Neutral, neither overbought nor oversold. The STOCH value of 37.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SPARC.

Sun Pharma Advanced Research Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
THYROCARE	69 Neutral	₹65.94B	51.62	―	1.69%	22.36%	52.01%
SUPRIYA	68 Neutral	₹59.47B	33.39	―	0.13%	13.68%	31.69%
AARTIDRUGS	66 Neutral	₹47.29B	25.05	―	0.19%	-0.03%	21.33%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
SPARC	41 Neutral	₹42.12B	―	―	―	-5.57%	23.03%