₹649.0
-0.84% today
· 30d +0.0%
as of 2026-11-09
Price · Daily Candles
“Solara Active Pharma: Q4 Revenue Jumps 41.86% as FIIs trim holdings, DIIs step up.”
Solara Active Pharma (SOLARA) reported strong Q4 FY26 revenue growth of 41.86% YoY to ₹387.0 Cr, despite an annual net loss of ₹7.0 Cr for FY26. While promoter shareholding remained stable at 42.0%, FIIs decreased their stake by 0.26% QoQ to 11.33%, with DIIs increasing theirs by 0.03% to 3.78% in the same period.
BULL CASE
+Q4 FY26 revenue surged 41.86% YoY to ₹387.0 Cr, indicating strong quarterly performance.
+Operating profit for Q4 FY26 also saw a 21.49% YoY increase, reaching ₹62.0 Cr.
+The stock has delivered a 1-year return of 18.59% and a 1-month return of 17.7%.
+Technical indicators MACD (1.4984) and RSI (60.25) show bullish signals.
+DIIs slightly increased their stake by 0.03% QoQ, holding 3.78% as of May 15, 2026.
BEAR CASE
−Solara posted an annual net loss of ₹7.0 Cr for FY26, a significant decline of -1472.22% YoY, despite revenue growth.
−Free Cash Flow (FCF) predictions are weak, with ML models forecasting severe compression: -50.0% for both h1 and h2 1-year rolling periods.
−The company's Return on Capital Employed (ROCE) is low at 5.0%, significantly below sector peers like Dr. Reddy's (27.63%).
−FIIs reduced their holding by 0.26% QoQ to 11.33% in May 2026.
−Sales CAGR over 3 and 5 years remains negative at -2.26% and -3.27% respectively, suggesting longer-term revenue challenges.
⟳ What Changed
₹ Latest Earnings · Q ending 2026-09-30
REVENUE
₹417 Cr
+33.11% YoY
NET PROFIT
₹28 Cr
OPM
18.52%
+7.3pp YoY
EPS
₹5.92
Intrinsic value · DCF ₹320.14 · Margin of safety -50.7% (overvalued) · FCF yield 3.22%
◇ Sector Position
Solara, with a ROCE of 5.0%, significantly underperforms sector leaders like Dr. Reddy's (ROCE: 27.63%) and Cipla (ROCE: 25.09%), even without a trailing PE for direct comparison.
PEERPEROCE %
SOLARA84.115.0
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ML Forward Growth Predictions 🔒
52
SCORE / 100
Overall
6-axis composite of the sections below.
Performance
POSITIVE
55
Valuation
STRETCHED
20
Growth
MUTED
39
Profitability
DECENT
52
Technicals
NEUTRAL
67
Risk
LOW
80
Key Stats
P/B
1.9
52W HIGH
₹774.0
OFF HIGH
-16.15%
MKT CAP
₹3107 Cr
◉ Active Signals
MACDNeutral2.0236
RSI(14)Neutral49.18
⧉ Strategy Fit 🔒