₹4845.0
-1.55% today
· 30d -2.47%
as of 2026-09-04
Price · Daily Candles
“Torrent Pharma's Q4 Surge: Profit up 26%, but valuation stretches amid market fluctuations.”
Torrent Pharma posted a robust Q4 2025 with net profit up 26.24% YoY to ₹635 Cr, driven by a 17.59% revenue increase to ₹3303 Cr. Despite this strong operational performance and a 3-year net profit CAGR of 34.98%, the stock trades at a TTM P/E of 69.54, signaling a stretched valuation against its intrinsic value.
BULL CASE
+Q4 2025 (period ending 2025-12-31) net profit jumped 26.24% YoY to ₹635 Cr.
+Quarterly revenue grew 17.59% YoY to ₹3303 Cr in Q4 2025.
+Annual net profit CAGR stands at 34.98% over the last 3 years.
+The company exhibits strong operating profit growth predictions, with EBIT 1-year recent 2-year rank at 0.898.
+Sales growth predictions are strong, with 1-year recent 2-year sales rank at 0.909.
BEAR CASE
−The stock is trading at a TTM P/E of 69.54, significantly higher than its intrinsic value signal of 'fair' with a -19.2% margin of safety.
−The beta of 0.26 indicates lower market volatility, but current valuation multiples appear elevated.
−Operating profit margin declined by 0.65% YoY in Q4 2025, despite revenue growth.
−Free Cash Flow growth predictions for the recent 2-year period are neutral, with a rank of 0.511.
⟳ What Changed
₹ Latest Earnings · Q ending 2026-06-30
REVENUE
₹4921 Cr
+54.85% YoY
NET PROFIT
₹566 Cr
+3.28% YoY
OPM
33.65%
+1.97pp YoY
EPS
₹14.87
PE 69.54
Intrinsic value · DCF ₹4095.37 · Margin of safety -15.5% (fair) · FCF yield 1.43%
◇ Sector Position
Torrent Pharmaceuticals, with a TTM P/E of 69.54 and ROCE of 27.0%, trades at a premium compared to peers like Cipla (P/E 29.52, ROCE 25.09%) and Dr. Reddy's (P/E 19.55, ROCE 27.63%).
PEERPEROCE %
TORNTPHARM69.5427.0
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ML Forward Growth Predictions 🔒
73
SCORE / 100
Overall
6-axis composite of the sections below.
Performance
STRONG
90
Valuation
STRETCHED
20
Growth
STRONG
85
Profitability
HIGH
92
Technicals
NEUTRAL
62
Risk
LOW
90
Key Stats
TTM PE
69.54
P/B
17.85
52W HIGH
₹5250.0
OFF HIGH
-7.71%
DIV YIELD
0.83%
MKT CAP
₹164165 Cr
◉ Active Signals
MACDNeutral-10.5876
RSI(14)Neutral44.64
Street Consensus
27 analysts₹4829.11
mean target
Low ₹4050.0Now ₹4845.0High ₹5423.0
⧉ Strategy Fit 🔒