pharma · ZYDUSLIFE
Zydus Lifesciences
Zydus Lifesciences: PE above historical average. NARROW LEADERSHIP regime. sector leading.
Price
₹1,115.1
Price 2026-07-30
5 day
+0.58%
Short-term move
1 month
+0.22%
Medium-term
Regime
NARROW LEADERSHIP
62% confidence
Market cap
₹115.0k Cr
inflow sector flow
Market Intelligence Analyst
Understand today's market in about 2 minutes.
“How does today's NARROW LEADERSHIP regime affect Zydus Lifesciences (ZYDUSLIFE) in the pharma sector?”
Price chart
₹1,099
+12.31% over period
About Zydus Lifesciences
Zydus Lifesciences Limited engages in the research, development, production, marketing, distribution, and sale of pharmaceutical products in India, the United States, Europe, and internationally. It operates through three segments: Pharmaceuticals, Consumer Products, and Medical Technologies. The company offers active pharmaceutical ingredients, human and finished dosage formulations, generics, branded generics, specialty formulations, biosimilars, vaccines, novel therapeutics, medical devices and technologies, consumer wellness, veterinary, and animal health products. It also provides biological products in the areas of oncology, autoimmune disorders, nephrology, inflammation, rheumatology, hepatology, and infectious diseases; and designs and executes clinical trials across new chemical entities (NCEs), biologics, vaccines, and specialty generics. In addition, the company operates seasonal, skin and healthcare, and food and nutrition products under the Glucon D, Complan, Sugar Free, Nycil, Everyuth, Nutralite, and RiteBite Max Protein brands. The company was formerly known as Cadila Healthcare Limited and changed its name to Zydus Lifesciences Limited in February 2022. Zydus Li...
At a Glance
RSI pattern warning
RSI oversold bounces for this stock succeeded only 0% of the time (avg -7.9% over 14 days) — not a reliable pattern.
52-week position
Trading at 95.4% of 52-week high
Technicals
RSI 14
37.5
Trend
uptrend
50 DMA
Above
200 DMA
Above
Key metrics
P/E ratio
23.0
71th pct · 7 quarterly points (limited history)
P/B
4.6
ROE
18.3%
Moderate profitability — 18.3% ROE
Market cap
₹115.0k Cr
Revenue growth
1620.0% YoY
Promoter
75.8%
52-week range
₹835.5 – ₹1,168.8
95.4% of high
RSI (14)
37.5
uptrend
vs 50 DMA
Above
DMA ₹1,104.41
Fundamental
70/100
STRONG
Trust
95/100
Verification
Coverage
100/100
HIGH
Quick Take
Zydus Lifesciences scores 70/100 on fundamentals (strong). Zydus Lifesciences: PE above historical average. NARROW LEADERSHIP regime. sector leading.
Fundamental Score: 70/100 · STRONG · 2 signals detected
DuPont Analysis
ROE 18.3% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 18.27% is moderate margin-driven and stable. Net margin 18.4%, asset turnover 0.51x, leverage 1.9x.
What This Means
Net margin of 18.4% means the company keeps ₹18.4 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.51x means the company efficiently uses its assets to generate revenue. Leverage of 1.9x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
72.9%
Operating
26.0%
Net
18.4%
Gross margin 72.9% → operating margin 26.0% → net margin 18.4%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.
Financial Health
Earnings Quality
WEAKCash flow only covers 0.4x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.
Debt Sustainability
COMFORTABLEInterest covered 16.9x — very comfortable. Debt service is not a concern. Debt/EBITDA at 1.5x is low — balance sheet has capacity.
Free Cash Flow
MODERATEFCF margin negative at -2.1% — spending more than earning. Check capex cycle.
Peer comparison
| Stock | Price | 5D | P/E | ROE | Rev growth | Mcap |
|---|---|---|---|---|---|---|
| DIVISLAB Divi's Laboratories | ₹7,835 | +7.7% | 70 | 16.2% | 950% | ₹1.8L Cr |
| CIPLA Cipla | ₹1,466.4 | +5.3% | 30.2 | 11.7% | -210% | ₹1.2L Cr |
| DRREDDY Dr. Reddy's Laboratories | ₹1,144.8 | -1.8% | 26.5 | 11.8% | -1160% | ₹1.1L Cr |
| AUROPHARMA Aurobindo Pharma | ₹1,576.3 | +3.5% | 26.3 | 9.9% | 560% | ₹91.1k Cr |
| ALKEM Alkem Laboratories | ₹5,816.5 | +3.8% | 29.4 | 17.6% | 1460% | ₹67.8k Cr |
| BIOCON Biocon | ₹425.35 | -2.3% | 145.3 | 1.1% | 230% | ₹66.3k Cr |
| GLENMARK Glenmark Pharmaceuticals | ₹2,190.3 | -0.7% | 47 | 14.1% | 1430% | ₹63.9k Cr |
| GLAND Gland Pharma | ₹2,517 | +5.9% | 40.9 | 10.5% | 2230% | ₹42.1k Cr |
| ZYDUSLIFE Zydus Lifesciences | ₹1,115.1 | +0.2% | 23 | 18.3% | 1620% | ₹1.2L Cr |
Key Watchpoints
Breaks above ₹1171 (+5%)
Trend reversal confirmation
Breaks below ₹1059 (-5%)
Further downside risk
PE reverts to median of 22.1 (7 quarterly points (limited history))
Valuation normalization
Pharma sector holding leadership position
Sector momentum continuing
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
OCF is only 0.4x net income. Profit not converting to cash — aggressive accounting possible.
Special charges of ₹577K Cr. May indicate restructuring, impairment, or one-time costs.
High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.
Working capital is consuming significant cash. Operational efficiency declining.
Strong insider alignment. Promoters have significant skin in the game.
🔴 2 CRITICAL flags — significant concerns. Investigate before investing.
Data Quality
News Correlation
50 articles scanned for fundamental themes
