Zydus Wellness Limited (ZYDUSWELL) AI Stock Analysis

• Market Cap: ₹141.50B
• Dividend Yield: 0.27%
• Average Volume (3M): 18.35K
• Price to Earnings (P/E): 55.8
• Beta (1Y): 0.89
• Revenue Growth: 14.55%
• EPS Growth: -20.61%
• Country: IN
• Employees: 1,008
• Sector: Consumer Goods
• Sector Strength: N/A
• Industry: Packaged Foods
• EPS (TTM): -1.70
• Shares Outstanding: 318,160,700
• 10 Day Avg. Volume: 14,419
• 30 Day Avg. Volume: 18,347
• PEG Ratio: 0.21
• Price to Book (P/B): 0.38
• Price to Sales (P/S): 0.79
• P/FCF Ratio: 6.81
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: ₹2,471.00 ▲(436.53% Upside)

Zydus Wellness Limited has a strong financial foundation with impressive growth and profitability metrics. The technical indicators show bullish momentum, though caution is advised due to overbought signals. The valuation suggests the stock may be overvalued, which could limit upside potential. Overall, the company is well-positioned in the packaged foods industry, but investors should monitor valuation and technical signals closely.

Zydus Wellness Limited Business Overview & Revenue Model

Company Description

Zydus Wellness Limited (ZYDUSWELL) is a prominent player in the Indian wellness and healthcare sector, specializing in the development, manufacturing, and marketing of a diverse range of consumer health products. The company operates primarily in the sectors of nutrition, personal care, and dietary supplements, with a robust portfolio that includes well-known brands such as Nutralite, Sugar Free, and EverYuth. Zydus Wellness aims to enhance the quality of life through innovative products that cater to the health and wellness needs of consumers.

How the Company Makes Money

Zydus Wellness generates revenue through multiple streams, primarily from the sale of its consumer health products. The company offers a wide array of items in the categories of nutrition, sugar substitutes, and personal care, which are sold through various distribution channels, including retail stores, online platforms, and direct sales. Key revenue streams include sales from flagship products like Sugar Free, which targets health-conscious consumers looking to reduce sugar intake, and Nutralite, which provides healthier alternatives to traditional fats. Additionally, Zydus Wellness benefits from strategic partnerships with retailers and e-commerce platforms that enhance product visibility and accessibility. The company's commitment to innovation and quality also contributes to brand loyalty, leading to repeat purchases and sustained revenue growth.

Zydus Wellness Limited Financial Statement Overview

Summary

Zydus Wellness Limited exhibits strong financial performance with consistent revenue growth and solid margins. The company maintains a low debt-to-equity ratio and demonstrates efficient cash flow management, positioning it well for future growth. However, there is a slight concern regarding the decline in gross profit margin.

Income Statement

Zydus Wellness Limited has demonstrated strong income statement metrics with consistent revenue growth, achieving a 15.59% increase year-over-year for 2025. The company maintains solid margins with a gross profit margin of 43.29% and a net profit margin of 12.89%. The EBIT and EBITDA margins are also robust at 13.05% and 14.83% respectively. These figures indicate effective cost management and profitability. However, the gross profit saw a slight decline from the previous year, which could indicate rising costs or pricing pressures.

Balance Sheet

The balance sheet of Zydus Wellness Limited is strong, with a low debt-to-equity ratio of 0.03 indicating minimal leverage and financial risk. The company has a high equity ratio of 88.03%, reflecting a stable financial foundation. Return on equity (ROE) is impressive at 6.11%, showcasing efficient use of shareholder capital to generate profits. The overall stability and low leverage position the company well for future growth.

Cash Flow

Zydus Wellness has demonstrated strong cash flow management, with a free cash flow growth rate of 43.99% in 2025. The operating cash flow to net income ratio is 1.10, indicating that operating cash flow comfortably covers net income, highlighting operational efficiency. The free cash flow to net income ratio of 0.90 further emphasizes the company's ability to generate cash after capital expenditures. This solid cash flow performance supports its financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	27.13B	27.09B	23.28B	22.55B	20.09B	18.67B
Gross Profit	13.32B	10.77B	8.87B	10.96B	7.41B	10.08B
EBITDA	3.98B	3.99B	3.08B	3.32B	3.55B	2.21B
Net Income	3.27B	3.47B	2.67B	3.10B	3.09B	1.19B
Balance Sheet
Total Assets	0.00	64.42B	61.48B	58.33B	56.92B	56.66B
Cash, Cash Equivalents and Short-Term Investments	1.09B	1.29B	3.16B	1.08B	1.96B	2.52B
Total Debt	0.00	1.88B	3.29B	2.97B	3.87B	5.50B
Total Liabilities	-56.72B	7.70B	7.91B	7.11B	8.48B	10.99B
Stockholders Equity	56.72B	56.72B	53.58B	51.23B	48.44B	45.68B
Cash Flow
Free Cash Flow	0.00	3.14B	2.18B	467.00M	1.61B	2.67B
Operating Cash Flow	0.00	3.80B	2.46B	917.00M	2.37B	2.87B
Investing Cash Flow	0.00	-2.24B	-1.78B	-849.00M	-859.50M	-104.10M
Financing Cash Flow	0.00	-1.86B	-257.00M	-1.39B	-2.34B	-2.16B

Zydus Wellness Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 460.55
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ZYDUSWELL, the sentiment is Neutral. The current price of 460.55 is below the 20-day moving average (MA) of 471.01, below the 50-day MA of 473.52, and above the 200-day MA of 394.83, indicating a neutral trend. The MACD of -1.30 indicates Positive momentum. The RSI at 40.47 is Neutral, neither overbought nor oversold. The STOCH value of 16.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:ZYDUSWELL.

Zydus Wellness Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZYDUSWELL	73 Outperform	₹141.50B	55.84	―	0.27%	14.55%	-20.61%
JYOTHYLAB	68 Neutral	₹115.87B	31.70	―	1.12%	1.59%	-2.52%
PGIL	68 Neutral	₹59.88B	23.78	―	0.85%	30.23%	23.88%
BECTORFOOD	67 Neutral	₹81.26B	58.01	―	0.46%	12.92%	-4.82%
FINEORG	66 Neutral	₹134.42B	32.44	―	0.25%	8.41%	-2.59%
BIKAJI	64 Neutral	₹181.60B	89.78	―	0.14%	11.69%	-28.54%
Sector *	57 Neutral	$3.13B	9.23	-34.32%	3.14%	-25.56%	-353.61%

Zydus Wellness Limited Corporate Events

Zydus Wellness Achieves ‘Very Good’ ESG Rating

Zydus Wellness Limited has received an ESG rating of ’73’ with a grade of B+ and category ‘Very Good’ from CFC Finlease Private Limited, based on publicly available information. This rating reflects positively on the company’s commitment to environmental, social, and governance standards, potentially enhancing its reputation and appeal among stakeholders and investors.

Zydus Wellness Launches ‘Saksham Niveshak’ 100 Days Campaign

Zydus Wellness Limited has announced the publication of a notice for its ‘Saksham Niveshak’ 100 days campaign in the Financial Express, both in English and Gujarati editions. This campaign is aimed at engaging shareholders and is part of the company’s ongoing efforts to maintain transparency and communication with its stakeholders.

Zydus Wellness to Engage with Investors at Global Conference

Zydus Wellness Limited has announced its participation in the 21st Annual Global Investor Conference, hosted by Motilal Oswal in Mumbai on September 3, 2025. This engagement with analysts and institutional investors is part of the company’s strategic efforts to enhance its visibility and strengthen its relationships with key stakeholders, potentially impacting its market positioning and investor confidence.

Zydus Wellness Announces Stock Split to Enhance Market Accessibility

Zydus Wellness Limited has announced a stock split, with the record date set for September 18, 2025. This move involves subdividing each equity share of ₹10 into five shares of ₹2 each, as approved at their recent Annual General Meeting. The stock split is likely to enhance liquidity and make the shares more accessible to a broader range of investors, potentially impacting the company’s market positioning positively.