Natco Pharma Ltd: Intrinsic Value & Share Price Analysis

Share Price and Basic Stock Data

Last Updated: September 27, 2025, 11:10 am

Quick Insight

Natco Pharma Ltd, currently trading at ₹854 with a market capitalization of ₹15,304 Cr, exhibits solid financial performance metrics. With a P/E ratio of 9.01, the stock appears attractively valued compared to industry peers, where the average P/E ratio tends to be higher. The company's Return on Equity (ROE) at 28.0% and Return on Capital Employed (ROCE) at 32.8% outshine sector norms, indicating efficient utilization of resources. Furthermore, a healthy Operating Profit Margin (OPM) of 43% and Interest Coverage Ratio (ICR) of 106.72x reflect robust operational efficiency and financial health.

Despite these strengths, Natco Pharma faces risks such as a relatively high level of borrowings at ₹279 Cr, which could increase vulnerability to interest rate fluctuations. Additionally, the Current Ratio of 362 days suggests a prolonged cash conversion cycle, potentially impacting liquidity. Looking ahead, diversifying funding sources to reduce reliance on debt and optimizing working capital management could enhance the company's financial resilience. Investors should closely monitor the company's efforts in these areas to mitigate risks and sustain long-term growth.

In conclusion, Natco Pharma's strong profitability ratios and prudent capital management position it well for sustained performance in the pharmaceutical sector. By addressing key risks and implementing strategic initiatives to improve financial flexibility, the company can unlock further value for shareholders in the dynamic market environment.

Competitors of Natco Pharma Ltd

All Competitor Stocks of Natco Pharma Ltd

Quarterly Result

Last Updated: August 20, 2025, 6:25 am

Below is a detailed analysis of the quarterly data for Natco Pharma Ltd based on the most recent figures (Jun 2025) and their trends compared to the previous period:

• For Sales, as of Jun 2025, the value is 1,329.00 Cr.. The value appears strong and on an upward trend. It has increased from 1,221.00 Cr. (Mar 2025) to 1,329.00 Cr., marking an increase of 108.00 Cr..
• For Expenses, as of Jun 2025, the value is 758.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 673.00 Cr. (Mar 2025) to 758.00 Cr., marking an increase of 85.00 Cr..
• For Operating Profit, as of Jun 2025, the value is 571.00 Cr.. The value appears strong and on an upward trend. It has increased from 548.00 Cr. (Mar 2025) to 571.00 Cr., marking an increase of 23.00 Cr..
• For OPM %, as of Jun 2025, the value is 43.00%. The value appears to be declining and may need further review. It has decreased from 45.00% (Mar 2025) to 43.00%, marking a decrease of 2.00%.
• For Other Income, as of Jun 2025, the value is 62.00 Cr.. The value appears to be declining and may need further review. It has decreased from 66.00 Cr. (Mar 2025) to 62.00 Cr., marking a decrease of 4.00 Cr..
• For Interest, as of Jun 2025, the value is 3.00 Cr.. The value appears to be improving (decreasing) as expected. It has decreased from 10.00 Cr. (Mar 2025) to 3.00 Cr., marking a decrease of 7.00 Cr..
• For Depreciation, as of Jun 2025, the value is 58.00 Cr.. The value appears to be improving (decreasing) as expected. It has decreased from 98.00 Cr. (Mar 2025) to 58.00 Cr., marking a decrease of 40.00 Cr..
• For Profit before tax, as of Jun 2025, the value is 572.00 Cr.. The value appears strong and on an upward trend. It has increased from 506.00 Cr. (Mar 2025) to 572.00 Cr., marking an increase of 66.00 Cr..
• For Tax %, as of Jun 2025, the value is 16.00%. The value appears to be improving (decreasing) as expected. It has decreased from 20.00% (Mar 2025) to 16.00%, marking a decrease of 4.00%.
• For Net Profit, as of Jun 2025, the value is 480.00 Cr.. The value appears strong and on an upward trend. It has increased from 406.00 Cr. (Mar 2025) to 480.00 Cr., marking an increase of 74.00 Cr..
• For EPS in Rs, as of Jun 2025, the value is 26.84. The value appears strong and on an upward trend. It has increased from 22.70 (Mar 2025) to 26.84, marking an increase of 4.14.

Overall, while many items appear to show a positive trend, any significant downward movement warrant further investigation.

Profit & Loss - Annual Report

Last Updated: September 10, 2025, 5:37 pm

Growth

Last Updated: September 5, 2025, 11:35 am

Balance Sheet

Last Updated: June 16, 2025, 11:39 am

Below is a detailed analysis of the balance sheet data for Natco Pharma Ltd based on the most recent figures (Mar 2025) and their trends compared to the previous period:

• For Equity Capital, as of Mar 2025, the value is 36.00 Cr.. The value remains steady. There is no change compared to the previous period (Mar 2024) which recorded 36.00 Cr..
• For Reserves, as of Mar 2025, the value is 7,571.00 Cr.. The value appears strong and on an upward trend. It has increased from 5,817.00 Cr. (Mar 2024) to 7,571.00 Cr., marking an increase of 1,754.00 Cr..
• For Borrowings, as of Mar 2025, the value is 279.00 Cr.. The value appears to be improving (decreasing). Additionally, since Reserves exceed Borrowings, this is considered a positive sign. It has decreased from 371.00 Cr. (Mar 2024) to 279.00 Cr., marking a decrease of 92.00 Cr..
• For Other Liabilities, as of Mar 2025, the value is 744.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 682.00 Cr. (Mar 2024) to 744.00 Cr., marking an increase of 62.00 Cr..
• For Total Liabilities, as of Mar 2025, the value is 8,631.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 6,906.00 Cr. (Mar 2024) to 8,631.00 Cr., marking an increase of 1,725.00 Cr..
• For Fixed Assets, as of Mar 2025, the value is 2,698.00 Cr.. The value appears strong and on an upward trend. It has increased from 2,491.00 Cr. (Mar 2024) to 2,698.00 Cr., marking an increase of 207.00 Cr..
• For CWIP, as of Mar 2025, the value is 225.00 Cr.. The value appears strong and on an upward trend. It has increased from 137.00 Cr. (Mar 2024) to 225.00 Cr., marking an increase of 88.00 Cr..
• For Investments, as of Mar 2025, the value is 474.00 Cr.. The value appears to be declining and may need further review. It has decreased from 539.00 Cr. (Mar 2024) to 474.00 Cr., marking a decrease of 65.00 Cr..
• For Other Assets, as of Mar 2025, the value is 5,234.00 Cr.. The value appears strong and on an upward trend. It has increased from 3,739.00 Cr. (Mar 2024) to 5,234.00 Cr., marking an increase of 1,495.00 Cr..
• For Total Assets, as of Mar 2025, the value is 8,631.00 Cr.. The value appears strong and on an upward trend. It has increased from 6,906.00 Cr. (Mar 2024) to 8,631.00 Cr., marking an increase of 1,725.00 Cr..

Notably, the Reserves (7,571.00 Cr.) exceed the Borrowings (279.00 Cr.), indicating a solid financial buffer.

Overall, while many items appear to show a positive trend, any significant downward movement or items where Borrowings exceed Reserves warrant further investigation.

Free Cash Flow

Financial Efficiency Indicators

Share Holding Pattern

Mutual Fund Holdings

Key Financial Ratios

After reviewing the key financial ratios for Natco Pharma Ltd, here is a detailed analysis based on the latest available data and recent trends:

• For FaceValue, as of Mar 25, the value is 2.00. This value is within the healthy range. There is no change compared to the previous period (Mar 24) which recorded 2.00.
• For Basic EPS (Rs.), as of Mar 25, the value is 105.26. This value is within the healthy range. It has increased from 77.34 (Mar 24) to 105.26, marking an increase of 27.92.
• For Diluted EPS (Rs.), as of Mar 25, the value is 105.26. This value is within the healthy range. It has increased from 77.34 (Mar 24) to 105.26, marking an increase of 27.92.
• For Cash EPS (Rs.), as of Mar 25, the value is 118.36. This value is within the healthy range. It has increased from 87.99 (Mar 24) to 118.36, marking an increase of 30.37.
• For Book Value[Excl.RevalReserv]/Share (Rs.), as of Mar 25, the value is 424.97. It has increased from 326.99 (Mar 24) to 424.97, marking an increase of 97.98.
• For Book Value[Incl.RevalReserv]/Share (Rs.), as of Mar 25, the value is 424.97. It has increased from 326.99 (Mar 24) to 424.97, marking an increase of 97.98.
• For Revenue From Operations / Share (Rs.), as of Mar 25, the value is 247.46. It has increased from 223.40 (Mar 24) to 247.46, marking an increase of 24.06.
• For PBDIT / Share (Rs.), as of Mar 25, the value is 142.49. This value is within the healthy range. It has increased from 105.00 (Mar 24) to 142.49, marking an increase of 37.49.
• For PBIT / Share (Rs.), as of Mar 25, the value is 129.35. This value is within the healthy range. It has increased from 94.56 (Mar 24) to 129.35, marking an increase of 34.79.
• For PBT / Share (Rs.), as of Mar 25, the value is 128.01. This value is within the healthy range. It has increased from 93.49 (Mar 24) to 128.01, marking an increase of 34.52.
• For Net Profit / Share (Rs.), as of Mar 25, the value is 105.22. This value is within the healthy range. It has increased from 77.56 (Mar 24) to 105.22, marking an increase of 27.66.
• For NP After MI And SOA / Share (Rs.), as of Mar 25, the value is 105.33. This value is within the healthy range. It has increased from 77.56 (Mar 24) to 105.33, marking an increase of 27.77.
• For PBDIT Margin (%), as of Mar 25, the value is 57.57. This value is within the healthy range. It has increased from 47.00 (Mar 24) to 57.57, marking an increase of 10.57.
• For PBIT Margin (%), as of Mar 25, the value is 52.27. This value exceeds the healthy maximum of 20. It has increased from 42.33 (Mar 24) to 52.27, marking an increase of 9.94.
• For PBT Margin (%), as of Mar 25, the value is 51.73. This value is within the healthy range. It has increased from 41.85 (Mar 24) to 51.73, marking an increase of 9.88.
• For Net Profit Margin (%), as of Mar 25, the value is 42.51. This value exceeds the healthy maximum of 10. It has increased from 34.71 (Mar 24) to 42.51, marking an increase of 7.80.
• For NP After MI And SOA Margin (%), as of Mar 25, the value is 42.56. This value exceeds the healthy maximum of 20. It has increased from 34.71 (Mar 24) to 42.56, marking an increase of 7.85.
• For Return on Networth / Equity (%), as of Mar 25, the value is 24.78. This value is within the healthy range. It has increased from 23.71 (Mar 24) to 24.78, marking an increase of 1.07.
• For Return on Capital Employeed (%), as of Mar 25, the value is 30.11. This value is within the healthy range. It has increased from 28.52 (Mar 24) to 30.11, marking an increase of 1.59.
• For Return On Assets (%), as of Mar 25, the value is 21.84. This value is within the healthy range. It has increased from 20.10 (Mar 24) to 21.84, marking an increase of 1.74.
• For Total Debt / Equity (X), as of Mar 25, the value is 0.03. This value is within the healthy range. It has decreased from 0.06 (Mar 24) to 0.03, marking a decrease of 0.03.
• For Asset Turnover Ratio (%), as of Mar 25, the value is 0.57. It has decreased from 0.63 (Mar 24) to 0.57, marking a decrease of 0.06.
• For Current Ratio (X), as of Mar 25, the value is 5.59. This value exceeds the healthy maximum of 3. It has increased from 4.14 (Mar 24) to 5.59, marking an increase of 1.45.
• For Quick Ratio (X), as of Mar 25, the value is 4.77. This value exceeds the healthy maximum of 2. It has increased from 3.42 (Mar 24) to 4.77, marking an increase of 1.35.
• For Inventory Turnover Ratio (X), as of Mar 25, the value is 0.73. This value is below the healthy minimum of 4. It has increased from 0.72 (Mar 24) to 0.73, marking an increase of 0.01.
• For Dividend Payout Ratio (NP) (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 20. It has decreased from 12.25 (Mar 24) to 0.00, marking a decrease of 12.25.
• For Dividend Payout Ratio (CP) (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 20. It has decreased from 10.80 (Mar 24) to 0.00, marking a decrease of 10.80.
• For Earning Retention Ratio (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 40. It has decreased from 87.75 (Mar 24) to 0.00, marking a decrease of 87.75.
• For Cash Earning Retention Ratio (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 40. It has decreased from 89.20 (Mar 24) to 0.00, marking a decrease of 89.20.
• For Interest Coverage Ratio (X), as of Mar 25, the value is 106.72. This value is within the healthy range. It has increased from 97.89 (Mar 24) to 106.72, marking an increase of 8.83.
• For Interest Coverage Ratio (Post Tax) (X), as of Mar 25, the value is 79.80. This value is within the healthy range. It has increased from 73.31 (Mar 24) to 79.80, marking an increase of 6.49.
• For Enterprise Value (Cr.), as of Mar 25, the value is 12,381.23. It has decreased from 16,442.15 (Mar 24) to 12,381.23, marking a decrease of 4,060.92.
• For EV / Net Operating Revenue (X), as of Mar 25, the value is 2.80. This value is within the healthy range. It has decreased from 4.11 (Mar 24) to 2.80, marking a decrease of 1.31.
• For EV / EBITDA (X), as of Mar 25, the value is 4.85. This value is below the healthy minimum of 5. It has decreased from 8.75 (Mar 24) to 4.85, marking a decrease of 3.90.
• For MarketCap / Net Operating Revenue (X), as of Mar 25, the value is 3.22. This value exceeds the healthy maximum of 3. It has decreased from 4.26 (Mar 24) to 3.22, marking a decrease of 1.04.
• For Retention Ratios (%), as of Mar 25, the value is 0.00. This value is below the healthy minimum of 30. It has decreased from 87.74 (Mar 24) to 0.00, marking a decrease of 87.74.
• For Price / BV (X), as of Mar 25, the value is 1.88. This value is within the healthy range. It has decreased from 2.91 (Mar 24) to 1.88, marking a decrease of 1.03.
• For Price / Net Operating Revenue (X), as of Mar 25, the value is 3.22. This value exceeds the healthy maximum of 3. It has decreased from 4.26 (Mar 24) to 3.22, marking a decrease of 1.04.
• For EarningsYield, as of Mar 25, the value is 0.13. This value is below the healthy minimum of 5. It has increased from 0.08 (Mar 24) to 0.13, marking an increase of 0.05.

Overall, while many metrics show healthy performance, any figures highlighted in red or significant downward trends warrant further investigation.

Fair Value

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