Vimta Labs Limited (VIMTALABS) AI Stock Analysis

• Market Cap: ₹25.85B
• Dividend Yield: 0.16%
• Average Volume (3M): 22.50K
• Price to Earnings (P/E): 32.7
• Beta (1Y): 1.02
• Revenue Growth: 17.05%
• EPS Growth: 56.84%
• Country: IN
• Employees: 1,428
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 4.47
• Shares Outstanding: 44,635,190
• 10 Day Avg. Volume: 11,086
• 30 Day Avg. Volume: 22,501
• PEG Ratio: 0.25
• Price to Book (P/B): 2.83
• Price to Sales (P/S): 3.12
• P/FCF Ratio: 68.08
• 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): 1,440.68
• Revenue Forecast (FY): ₹385.28B

• Rating: 64 Neutral
• Price Target: ₹735.00 ▲(20.64% Upside)

Vimta Labs Limited's strong financial performance is the most significant factor, supported by consistent revenue growth and solid profitability. However, technical analysis indicates bearish momentum, and the stock appears overvalued with a high P/E ratio and low dividend yield. These factors collectively result in a moderate overall stock score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong demand for Vimta Labs' services, reflecting its ability to capture market share and expand its client base, which is crucial for long-term success.

Balance Sheet Health

A strong balance sheet with low leverage provides Vimta Labs with financial stability and flexibility, enabling it to invest in growth opportunities and weather economic downturns.

Profitability Metrics

High profitability margins demonstrate efficient operations and cost management, allowing Vimta Labs to sustain competitive pricing and reinvest in business growth.

Negative Factors

Cash Flow Retention

Limited cash retention may restrict Vimta Labs' ability to fund future expansions or manage unexpected expenses, potentially impacting long-term growth.

Valuation Concerns

High valuation may limit upside potential and attract scrutiny from value-focused investors, potentially affecting stock performance if growth expectations are not met.

Dividend Yield

A low dividend yield may deter income-seeking investors, impacting the attractiveness of Vimta Labs' stock for those prioritizing regular income over capital gains.

Vimta Labs Limited Business Overview & Revenue Model

Company Description

Vimta Labs Limited provides contract research and testing services in India and internationally. It offers laboratory, food and water testing and analysis, preclinical and clinical research, biological molecule structural and functional analysis, environmental assessment, and clinical reference laboratory services. The company serves pharmaceutical, biopharmaceutical, food, consumer goods, electronic, electrical, agrochemical, healthcare, medical device, and various other industries. Vimta Labs Limited was founded in 1984 and is headquartered in Hyderabad, India.

How the Company Makes Money

Vimta Labs generates revenue through multiple streams, primarily by offering comprehensive laboratory testing and analytical services to clients in various industries. Key revenue streams include fees for bioanalytical testing, clinical trials, stability studies, and other specialized testing services. The company also partners with pharmaceutical and biotechnology firms for contract research and development services, which contribute significantly to its earnings. Additionally, Vimta Labs may benefit from government contracts and collaborations with research institutions, enhancing its revenue potential. The consistent demand for quality testing services in health and safety sectors further solidifies its financial performance.

Vimta Labs Limited Financial Statement Overview

Summary

Vimta Labs Limited exhibits strong financial health with consistent revenue growth and solid profitability metrics. The balance sheet reflects low leverage and high equity, enhancing financial stability. Cash flows are improving, but there is potential for further strengthening free cash flow.

Income Statement

Vimta Labs Limited demonstrates strong financial performance with consistent revenue growth, achieving a notable 8.07% increase from 2024 to 2025. The company maintains a robust gross profit margin averaging around 40.76% in 2025, while net profit margin has improved significantly to 19.58% in the same year. The EBIT margin of 25.20% and a strong EBITDA margin of 36.69% indicate efficient operations and cost management.

Balance Sheet

The balance sheet remains solid with a low debt-to-equity ratio of 0.02, reflecting conservative leverage. Return on equity is strong at 17.77%, demonstrating effective use of shareholder capital. The equity ratio stands at an impressive 81.19%, highlighting financial stability and a strong asset base.

Cash Flow

Cash flow analysis reveals positive trends with free cash flow improving from negative in 2024 to positive in 2025. Operating cash flow to net income ratio is healthy at 1.41, indicating strong cash generation relative to net earnings. However, free cash flow to net income ratio remains relatively modest, suggesting room for improvement in cash retention.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.67B	3.44B	3.18B	3.15B	2.76B	2.09B
Gross Profit	2.17B	1.33B	2.42B	2.41B	914.08M	1.47B
EBITDA	1.35B	1.26B	902.01M	966.38M	802.74M	533.46M
Net Income	757.24M	673.42M	410.09M	481.72M	413.30M	214.05M
Balance Sheet
Total Assets	0.00	4.67B	4.00B	3.62B	3.07B	2.74B
Cash, Cash Equivalents and Short-Term Investments	323.15M	327.21M	256.01M	395.73M	112.06M	65.85M
Total Debt	0.00	85.15M	191.89M	149.88M	193.41M	304.15M
Total Liabilities	-3.79B	876.84M	803.54M	805.39M	732.14M	799.75M
Stockholders Equity	3.79B	3.79B	3.20B	2.82B	2.34B	1.94B
Cash Flow
Free Cash Flow	0.00	157.66M	-156.78M	381.32M	203.45M	40.93M
Operating Cash Flow	0.00	948.30M	608.92M	879.37M	590.69M	371.82M
Investing Cash Flow	0.00	-755.37M	-760.48M	-572.56M	-378.48M	-319.24M
Financing Cash Flow	0.00	-166.81M	-19.03M	-109.81M	-166.14M	-45.70M

Vimta Labs Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 609.25
• 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:VIMTALABS, the sentiment is Negative. The current price of 609.25 is above the 20-day moving average (MA) of 607.25, below the 50-day MA of 620.47, and above the 200-day MA of 593.81, indicating a bearish trend. The MACD of -5.15 indicates Positive momentum. The RSI at 38.06 is Neutral, neither overbought nor oversold. The STOCH value of 29.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:VIMTALABS.

Vimta Labs Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAKAR	66 Neutral	₹8.34B	43.00	―	―	24.20%	55.01%
SMSPHARMA	65 Neutral	₹31.79B	35.37	―	0.13%	11.91%	36.92%
VIMTALABS	64 Neutral	₹25.85B	32.74	―	0.16%	17.05%	56.84%
KRSNAA	62 Neutral	₹23.70B	27.95	―	0.38%	11.51%	21.56%
SOLARA	55 Neutral	₹26.38B	405.72	―	―	-4.18%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
INDOCO	40 Neutral	₹20.18B	-18.25	―	0.08%	-2.81%	-444.69%