Zydus Wellness Limited (ZYDUSWELL) AI Stock Analysis

• Market Cap: ₹123.39B
• Dividend Yield: 0.31%
• Average Volume (3M): 3.21K
• Price to Earnings (P/E): 37.7
• Beta (1Y): 0.72
• Revenue Growth: 10.63%
• EPS Growth: 7.53%
• Country: IN
• Employees: 1,008
• Sector: Consumer Goods
• Sector Strength: N/A
• Industry: Packaged Foods
• EPS (TTM): 20.10
• Shares Outstanding: 63,632,145
• 10 Day Avg. Volume: 3,558
• 30 Day Avg. Volume: 3,207
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹2,326.00
• Price Target Upside: 19.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 67 Neutral
• Price Target: ₹2,152.00 ▲(10.89% Upside)

Zydus Wellness Limited's strong financial performance is the primary driver of its stock score, supported by robust growth and profitability metrics, low leverage, and efficient cash flow management. However, the stock's valuation appears high relative to peers, and technical indicators suggest mixed sentiment, with short-term bearish trends but longer-term bullish potential.

Zydus Wellness Limited Business Overview & Revenue Model

Company Description

Zydus Wellness Limited is a leading consumer wellness company based in India, specializing in the production and marketing of health and wellness products. The company operates in the fast-moving consumer goods (FMCG) sector, focusing on nutritional, skincare, and personal care products. Its diverse product portfolio includes popular brands such as Sugar Free, Everyuth, and Nutralite, catering to health-conscious consumers seeking healthier lifestyle options.

How the Company Makes Money

Zydus Wellness Limited generates revenue primarily through the sale of its consumer wellness products across various categories, including nutritional products, skincare, and personal care. The company's key revenue streams are derived from strong brand offerings like Sugar Free, a leading sugar substitute brand, Everyuth skincare products, and Nutralite, a healthy alternative to butter. Zydus Wellness leverages both traditional retail channels and modern trade platforms to reach a broad consumer base. Additionally, strategic marketing initiatives and innovation in product development play significant roles in driving sales and maintaining competitive advantage in the market.

Zydus Wellness Limited Financial Statement Overview

Summary

Zydus Wellness Limited exhibits strong financial metrics with consistent revenue growth of 15.59% year-over-year. The company maintains solid margins, demonstrating effective cost management and profitability. However, there is a slight decline in gross profit margin, which could indicate rising costs or pricing pressures. The balance sheet is strong with minimal leverage and high equity ratio, and cash flow management is efficient, supporting financial flexibility.

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	26.93B	27.09B	23.28B	22.55B	20.09B	18.67B
Gross Profit	12.66B	14.31B	11.74B	10.90B	10.02B	10.03B
EBITDA	3.99B	3.99B	3.08B	3.32B	3.55B	2.21B
Net Income	3.47B	3.47B	2.67B	3.10B	3.09B	1.19B
Balance Sheet
Total Assets	64.42B	64.42B	61.48B	58.33B	56.92B	56.66B
Cash, Cash Equivalents and Short-Term Investments	1.29B	1.29B	3.16B	1.08B	1.96B	2.52B
Total Debt	1.88B	1.88B	3.29B	2.97B	3.87B	5.50B
Total Liabilities	7.70B	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: 1940.70
• 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 1940.7 is below the 20-day moving average (MA) of 2034.70, below the 50-day MA of 2002.11, and above the 200-day MA of 1866.06, indicating a neutral trend. The MACD of -14.98 indicates Positive momentum. The RSI at 40.48 is Neutral, neither overbought nor oversold. The STOCH value of 9.52 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
JYOTHYLAB	74 Outperform	₹122.17B	33.42		1.05%	3.27%	0.28%
PGIL	68 Neutral	₹57.59B	22.88		0.92%	30.23%	23.88%
BIKAJI	67 Neutral	₹180.68B	89.31		0.14%	11.69%	-28.52%
ZYDUSWELL	67 Neutral	₹123.39B	37.72		0.31%	10.63%	7.53%
BECTORFOOD	67 Neutral	₹87.91B	62.75		0.34%	15.39%	-0.22%
FINEORG	65 Neutral	₹148.52B	35.84		0.23%	8.41%	-2.59%
Sector *	64 Neutral	€10.36B	45.27	6.33%	3.39%	-0.14%	-77.30%