Unichem Laboratories Limited (UNICHEMLAB) AI Stock Analysis

• Market Cap: ₹32.71B
• Dividend Yield: N/A
• Average Volume (3M): 2.01K
• Price to Earnings (P/E): 25.0
• Beta (1Y): 0.81
• Revenue Growth: 22.04%
• EPS Growth: N/A
• Country: IN
• Employees: 2,875
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -1.49
• Shares Outstanding: 70,405,754
• 10 Day Avg. Volume: 1,203
• 30 Day Avg. Volume: 2,014
• PEG Ratio: -0.12
• Price to Book (P/B): 2.00
• Price to Sales (P/S): 2.32
• P/FCF Ratio: -33.98
• 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: ₹633.00
• Price Target Upside: 36.26% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ₹633.00 ▲(36.26% Upside)

Unichem Laboratories faces challenges in profitability and cash flow management, impacting its overall financial health despite strong revenue growth. Technical indicators show mixed momentum, while the stock appears moderately overvalued with no dividend support. Addressing liquidity issues and improving operational efficiencies are crucial for enhancing investor confidence.

Unichem Laboratories Limited Business Overview & Revenue Model

Company Description

Unichem Laboratories Limited (UNICHEMLAB) is a prominent Indian pharmaceutical company that specializes in the development, manufacturing, and marketing of a wide range of pharmaceutical products. Established in 1944, the company operates across various sectors, including prescription pharmaceuticals, over-the-counter (OTC) products, and active pharmaceutical ingredients (APIs). UNICHEMLAB focuses on therapeutic areas such as cardiovascular, anti-diabetic, and anti-infective medicines, offering both branded and generic formulations to cater to diverse healthcare needs.

How the Company Makes Money

Unichem Laboratories generates revenue primarily through the sale of its pharmaceutical products, which includes both branded and generic medications. The company's revenue model is diversified across domestic and international markets, with significant income derived from its extensive portfolio of prescription drugs. Key revenue streams include sales from its formulations in various therapeutic segments, as well as from the production and sale of active pharmaceutical ingredients (APIs) to other pharmaceutical firms. Additionally, Unichem has established partnerships and collaborations with other companies for product development and distribution, further enhancing its market reach and revenue potential. The company also benefits from a growing demand for healthcare products and an increasing emphasis on quality medications in both local and global markets.

Unichem Laboratories Limited Financial Statement Overview

Summary

Unichem Laboratories shows strong revenue growth and improved gross margins. However, profitability is limited with a low net profit margin, and cash flow management poses challenges with negative operating cash flow. The balance sheet is stable with low leverage, but liquidity concerns need addressing.

Income Statement

Unichem Laboratories has demonstrated significant revenue growth, with Total Revenue increasing from $11.56 billion in 2020 to $21.11 billion in 2025, a strong upward trajectory. Gross Profit Margin improved to 59.08% in 2025, highlighting enhanced efficiency. However, the Net Profit Margin remains low at 6.51% in 2025, indicating limited profitability gains. The EBIT and EBITDA margins show volatility, suggesting operational challenges despite recent improvements.

Balance Sheet

The company maintains a healthy balance sheet with Stockholders' Equity rising to $24.51 billion in 2025, demonstrating robust equity support. The Debt-to-Equity Ratio is relatively low at 0.19, indicating low leverage and financial stability. However, the Equity Ratio has slightly decreased, reflecting a minor increase in liabilities relative to assets, warranting cautious monitoring.

Cash Flow

Cash flow performance is mixed, with Operating Cash Flow turning negative in 2025, showing cash management issues. Free Cash Flow remains negative, highlighting potential liquidity challenges. The Operating Cash Flow to Net Income Ratio reflects inconsistency in cash conversion efficiency. Attention is needed to improve cash flow stability and support growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	21.09B	21.11B	16.57B	13.25B	12.56B	12.05B
Gross Profit	12.33B	12.47B	3.17B	7.92B	8.07B	7.89B
EBITDA	2.87B	2.65B	742.36M	-456.07M	1.18B	1.41B
Net Income	1.31B	1.38B	-704.74M	-2.02B	330.62M	343.25M
Balance Sheet
Total Assets	0.00	35.69B	31.69B	31.93B	33.19B	31.26B
Cash, Cash Equivalents and Short-Term Investments	895.80M	895.80M	1.52B	1.89B	3.73B	3.14B
Total Debt	0.00	4.60B	2.48B	3.14B	3.49B	1.19B
Total Liabilities	-24.51B	11.19B	8.07B	7.58B	7.00B	5.69B
Stockholders Equity	24.51B	24.51B	23.62B	24.35B	26.18B	25.57B
Cash Flow
Free Cash Flow	0.00	-1.44B	-58.53M	-1.29B	-3.87B	-2.55B
Operating Cash Flow	0.00	-70.20M	166.94M	-850.91M	-2.60B	330.99M
Investing Cash Flow	0.00	-2.41B	504.04M	2.03B	1.00B	-735.58M
Financing Cash Flow	0.00	1.84B	-1.06B	-813.00M	1.91B	-1.21B

Unichem Laboratories Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 464.55
• 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:UNICHEMLAB, the sentiment is Negative. The current price of 464.55 is below the 20-day moving average (MA) of 480.53, below the 50-day MA of 495.64, and below the 200-day MA of 604.98, indicating a bearish trend. The MACD of -9.70 indicates Negative momentum. The RSI at 36.94 is Neutral, neither overbought nor oversold. The STOCH value of 22.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:UNICHEMLAB.

Unichem Laboratories Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AARTIDRUGS	66 Neutral	₹47.29B	25.05	―	0.19%	-0.03%	21.33%
UNICHEMLAB	58 Neutral	₹32.71B	25.00	―	―	22.04%	―
DCAL	58 Neutral	₹43.55B	41.79	―	―	19.85%	―
GUFICBIO	57 Neutral	₹35.26B	57.00	―	0.03%	2.37%	-30.78%
SEQUENT	54 Neutral	₹51.07B	170.85	―	―	12.33%	439.46%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Unichem Laboratories Limited Corporate Events

Unichem Laboratories Updates RTA Contact Details

Unichem Laboratories Limited announced a change in the contact details of its Registrar and Share Transfer Agent, now known as MUFG Intime India Private Limited. This update follows a previous name change from Link Intime India Private Limited. The company has provided new contact information and emphasized that electronic queries or service requests should be made through the RTA’s website. This change is part of the company’s ongoing efforts to streamline operations and improve stakeholder communication.