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Intrinsic value · Buy/Sell verdict · scores — free· 1049 Indian stocks· EOD 2026-07-31

Alkem Laboratories Limited

ALKEMNSEHealthcare
₹5,751.5
-65.00 (-1.12%)
Buy

Momentum (79/100) does the heavy lifting; financial trend (27/100) is the drag.

Buy zone
The bottom line

Alkem Laboratories Limited earns a Buy from StocksWizard, with a blended score of 62/100. At ₹5,751.5 it trades below our blended DCF and relative-multiples fair value of ₹6,670.86, about 16% upside to that estimate — we read it as undervalued by 16%. On 28.2x trailing earnings it sits cheaper than the Healthcare median of about 37.6x. It's trading right at its 52-week high of ₹5,842.9. Financial health scores 100/100, in the safe band on the Altman Z-score, with a Piotroski F-score of 3/9. The average analyst target of ₹5,956.45 implies about 4% upside across 20 analysts. It clears 10 of 13 investability checks, with durability 64, valuation 69 and momentum 79 on our 0–100 scales.

Analysis by Ankit Sharma · StocksWizard's own estimates from end-of-day public data — see how we calculate them. For information only, not investment advice.

Intrinsic value
Our fair value
₹6,670.86up 15.98%
Undervalued by 16%
Price ₹5,751.5Range ₹2,875.75₹7,267.03
DCF + relative blendhigh confidence

With a 20% margin of safety, our buy-below price is ₹5,336.69.

Analyst views

20 analysts12 buy · 4 hold · 4 sell
12-month consensus target₹5,956.45up 3.56%

1-year price

EOD · 2026-07-31
1D
down 1.12%
1W
up 2.09%
1M
up 4.56%
3M
up 6.45%
6M
up 1.49%
1Y

52-week range

-1.56% from the 52-week high.

Trend check
Above 50-DMA₹5,491Above 200-DMA₹5,523

Price above both moving averages reads as an intact uptrend; below both, the trend is against you.

Verdict pillars

Buy62
A
Financial health 100/100
Altman Z 7.77 · Safe zone

Piotroski F-score 3/9 — quality of earnings & balance sheet.

Our scores

Durability64
Valuation69
Momentum79

Durability rewards strong, low-debt, profitable businesses; Valuation rewards stocks cheap vs their sector; Momentum rewards strong price trends.

Investability checklist

Passed 10 of 13 checks
Each check screens one fundamentals, valuation or trend signal.
  • Pass: ROE above 15%: 17.6%
  • Pass: Low debt (D/E < 0.5): 0.14x
  • Pass: Positive free cash flow
  • Pass: Revenue growth > 10%: 15%
  • Fail: Earnings growing: -23%
  • Pass: Net margin ≥ 10%: 15.6%
  • Pass: Current ratio > 1.5: 2.55
  • Pass: Below our fair value
  • Fail: Margin of safety ≥ 20%
  • Pass: Above 200-day average
  • Pass: Above 50-day average
  • No data: Positive 1-year return
  • Pass: Altman Z in safe zone: Z 7.77
  • Fail: Piotroski ≥ 7: 3/9

Quarterly results

Revenue · 1Q2026
₹3,603 Cr
Net profit
₹317 Cr
Margin
9%
2Q2025
3Q2025
4Q2025
1Q2026
Revenue Net profitLatest revenue QoQ -4%

Annual financials

Revenue · 2026
₹14,712 Cr
Net profit
₹2,445 Cr
Margin
17%
2023
2024
2025
2026
Revenue Net profitLatest revenue YoY +13%

Shareholding

  • Promoter62.9%
  • Institutions25.1%
  • Public & other12.0%

Promoter holding via insider stake; institutional via reported holdings.

Key fundamentals

Market cap
₹64,906 Cr
P/E ratio
28.2
P/B ratio
4.70
EPS (TTM)
₹192.25
ROE
17.6%
Debt / Equity
0.14x
Profit margin
15.6%
Free cash flow
₹1,374 Cr
52-week high
₹5,842.9
-1.56% from high
52-week low
₹4,725.9
Dividend yield
1.0%
Beta
0.27
SWOT snapshot

Bull case vs bear case

Bull case

Strengths

  • Lightly leveraged balance sheet.
  • Healthy profit margin (15.6%).
  • Trading near its 52-week high.
  • Financially solid — Altman Z 7.77.

Opportunities

  • Revenue growing (15% YoY).
  • Trading in our value buy zone versus sector peers.

Bear case

Weaknesses

  • Weak Piotroski score (3/9).

Threats

  • Earnings contracting year on year.

About Alkem Laboratories Limited

Alkem Laboratories manufactures and sells pharmaceutical and nutraceutical products across India, the United States, and international markets. Its portfolio includes branded generics, generic drugs, active pharmaceutical ingredients, biosimilars, and nutraceuticals targeting acute and chronic therapeutic areas such as anti-infective, gastroenterology, pain management, iron deficiency, diabetology, and central nervous system conditions.

Alkem Laboratories Limited — frequently asked questions

Is Alkem Laboratories Limited a buy, hold or sell?

StocksWizard currently rates Alkem Laboratories Limited (ALKEM) a Buy, based on a blended score of 62/100 across valuation, quality, momentum and price trend. This is our own model-based view, not investment advice.

What is Alkem Laboratories Limited's fair value?

Our blended DCF and relative-valuation model estimates Alkem Laboratories Limited's fair value at about ₹6,670.86, versus a current price of ₹5,751.5 — roughly 16% upside. On that basis the stock looks undervalued by 16%.

Is Alkem Laboratories Limited financially healthy?

Alkem Laboratories Limited scores 100/100 on our financial-health model, placing it in the safe band on the Altman Z-score, with a Piotroski F-score of 3/9.

How has Alkem Laboratories Limited's share price performed?

Alkem Laboratories Limited is up 6% over three months, and last traded at ₹5,751.5. Past performance doesn't predict future returns.

Our verdict, fair value, financial-health and checklist are StocksWizard's own estimates, computed from public end-of-day data using standard models (DCF, relative valuation, Altman Z, Piotroski). For information only — not investment advice or a recommendation. Verify independently before investing.