₹804.9
-0.02% today
· 30d +1.89%
as of 2026-11-09
Price · Daily Candles
“Natco Pharma's Q4 Profit Jump Fails to Halt Price Slide While FIIs Increase Stake.”
Natco Pharma reported a strong Q4 2025 net profit growth of +14.27% YoY, reaching ₹151 crore on Q4 revenue of ₹647 crore, contributing to an attractive TTM PE of 10.78. However, the stock has erased 26.51% of its value over the last month and is trading 29.25% off its 52-week high, despite FIIs increasing their stake by 2.21% QoQ.
BULL CASE
+Natco Pharma's Q4 net profit surged +14.27% YoY to ₹151 crore, driven by a +36.33% YoY revenue increase to ₹647 crore.
+The company boasts a highly attractive TTM PE ratio of 10.78 and a Price-to-Book of 1.77.
+Profitability is strong, with an annual profit margin of 34.78% and ROCE at 33.0%.
+FIIs have demonstrably increased their holding by 2.21% QoQ, bringing their stake to 17.37% as of March 2026.
BEAR CASE
−The stock is trading 29.25% below its 52-week high of ₹1226.8 and has declined 26.51% in the last month.
−Operating profit margin (OPM) saw a -2.3% YoY change in Q4 2025, despite revenue growth.
−The stock has been flagged with a strong bearish MACD signal of -32.3689 and is near its 52-week low.
−ML predictions project weakness in Free Cash Flow (FCF) growth, with the model predicting severe compression.
⟳ What Changed
₹ Latest Earnings · Q ending 2025-12-31
REVENUE
₹647 Cr
+36.33% YoY
NET PROFIT
₹151 Cr
+14.27% YoY
OPM
30.73%
-2.3pp YoY
EPS
₹8.46
PE 10.78
Intrinsic value · DCF ₹417.50 · Margin of safety -48.1% (overvalued) · FCF yield 9.02%
◇ Sector Position
Natco Pharma's TTM PE of 10.78 is significantly lower than sector peers like Divis Lab (72.32) and Sun Pharma (38.97), while its ROCE of 33.0% stands above the peer average, including Cipla (25.09) and Zydus Lifesciences (25.71).
PEERPEROCE %
NATCOPHARM10.7833.0
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ML Forward Growth Predictions 🔒
68
SCORE / 100
Overall
6-axis composite of the sections below.
Performance
POSITIVE
55
Valuation
CHEAP
75
Growth
STEADY
69
Profitability
HIGH
95
Technicals
WEAK
47
Risk
LOW
70
Key Stats
TTM PE
10.78
P/B
1.77
52W HIGH
₹1226.8
OFF HIGH
-34.39%
DIV YIELD
0.75%
MKT CAP
₹14358 Cr
◉ Active Signals
MACDNeutral4.1059
RSI(14)Neutral52.31
Near 52W LowBearish4.05
Street Consensus
9 analysts₹1021.22
mean target
Low ₹712.0Now ₹804.9High ₹1220.0
⧉ Strategy Fit 🔒