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Alkem Laboratories Ltd (ALKEM)

Share Analysis – Quality, Valuation Zone, Price Trend & DeciZen Rating BSE: 539523 NSE: ALKEM Pharmaceuticals & Drugs | Mid Cap | Alkem Laboratories Share Price

₹5,414.15 77.00 (1.44%)

As on 23-Sep'26 16:59

Alkem Laboratories Ltd (ALKEM)

Share Analysis – Quality, Valuation Zone, Price Trend & DeciZen Rating BSE: 539523 NSE: ALKEM Pharmaceuticals & Drugs | Mid Cap | Alkem Laboratories Share Price

₹5,414.15 77.00 (1.44%)

As on 23-Sep'26 16:59

Key Metrics
Valuation Multiples
Market Cap
₹64,734 Cr.
Current Price
₹5,414.2
52-Week Low / High
₹5,052 / 5,933
TTM EPS
₹180.5
TTM Sales
₹15,081 Cr.
Book Value per Share
₹1,196.5
P/E Ratio
30.00
In line with its 5-year historical median
Industry PE
55.3
Price to Book (P/B)
4.53
In line with its 5-year historical median
Price to Sales (P/S)
4.29
Lower than its 5-year historical median
EV/EBITDA
17.79
Lower than its 5-year historical median
Dividend Yield
0.98%
Profitability Efficiency
Return on Equity (ROE)
18.29%
In line with industry median
Return on Capital Employed (ROCE)
21.28%
Outperforms industry median
Return on Assets (ROA)
13.44%
Operating Profit Margin
20.4%
Net Profit Margin
15.99%
Gross Profit Margin
15.2%
Growth Momentum
1-yr vs 3-yr growth
Sales Growth (1 Year)
Improving versus 3-year growth rate
9.65%
Operating Profit Growth (1 Year)
Slowing versus 3-year growth rate
19.19%
Net Profit Growth (1 Year)
Slowing versus 3-year growth rate
6.19%
Asset Quality
Promoter Holding
49.70%
Pledged shares (%) of Promoter's holding (%)
0.00%
Reserves
₹14,282 Cr.
Equity
₹23.9 Cr.
Face Value
₹2
All Time Low / High
₹1175.00 / 6440.00

Alkem Laboratories stock performance

Key Ratios
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Check Before You Invest

Valuation

Somewhat Overvalued

Price Trend

Semi Strong
Q.1 Is Alkem Laboratories Ltd a good quality company?
Alkem Laboratories Ltd is a good quality company, based on a consistently good multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

How does Alkem Laboratories Ltd performance compare with that of its Peers?
Q.1 Revenue growth of Alkem Laboratories Ltd vs industry peers?
Alkem Laboratories Ltd revenue CAGR is 10.66%, compared to the industry median CAGR of 10.66%, indicating stable growth and maintaining its market share.
Q.1 Promoter shareholding and pledge status of Alkem Laboratories Ltd?
Promoters hold 49.70% of the Alkem Laboratories Ltd, with 0.00% of their stake pledged, indicating no pledge risk.
Q.1 Stock return of Alkem Laboratories Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 11.7% based on the current price.

10 Year X-Ray :

Analysis of Financial Track Record (Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end)

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Alkem Laboratories Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26TTM
ROCE % 21%19%17.1%20.5%23.4%18%13.2%15.2%19.7%19%-
Value Creation
Index
0.90.70.50.81.10.60.20.40.80.7-

Growth Parameters

Sales 4,5485,2815,7146,6777,2208,8309,0557,9648,8139,6649,959
Sales YoY Gr.-16.1%8.2%16.9%8.1%22.3%2.6%-12.1%10.7%9.7%-
Adj EPS 73.860.365.7104.5138126.893.1132.2170.9183.4178.4
YoY Gr.--18.3%9%59%32%-8.1%-26.6%42%29.2%7.4%-
BVPS (₹) 367.4408.7457.2525.3637.9731.4782.1882.91,030.71,1711,218.5
Adj Net
Profit
8837217861,2501,6501,5161,1131,5812,0432,1932,133
Cash Flow from Ops. 4993187456821,3241,2991,4371,6872,1891,969-
Debt/CF from Ops. 0.71.70.71.811.70.80.60.20.3-

CAGR

9 Years 5 Years 3 Years 1 Years
Sales 8.7%6%2.2%9.7%
Adj EPS 10.6%5.9%25.4%7.4%
BVPS13.7%12.9%14.4%13.6%
Share Price 11.9% 6.2% 15.2% -2.9%

Key Financial Parameters

Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26TTM
Return on
Equity %
22.115.515.221.323.718.512.315.917.916.714.9
Op. Profit
Mgn %
19.318.918.422.22720.515.32124.525.125.5
Net Profit
Mgn %
19.413.713.818.722.917.212.319.923.222.721.4
Debt to
Equity
0.10.10.10.20.20.30.10.100-
Working Cap
Days
155162159156175178184255264245145
Cash Conv.
Cycle
4145516276808175463591

Valuation of Alkem Laboratories - Consolidated

YTD 1Y 3Y 5Y 10Y Max
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YTD 1Y 3Y 5Y 10Y Max
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YTD 1Y 3Y 5Y 10Y Max
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YTD 1Y 3Y 5Y 10Y Max
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Analyst's Notes

data not found
No data found!

Management X-Ray

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Financials

PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26
Sales5,6886,3927,3578,3448,86510,63411,59912,66812,96514,712
Operating Expenses + 4,6895,3836,2426,8716,9238,5819,99010,42210,45211,718
Manufacturing Costs7799529288968781,2561,1361,3461,4521,349
Material Costs1,8081,9862,5862,9593,1253,5664,3814,3274,1214,547
Employee Cost 1,0041,1921,3621,5051,6211,9632,1312,2012,4542,837
Other Costs 1,0981,2531,3661,5111,2991,7972,3412,5482,4252,985
Operating Profit 9991,0091,1151,4731,9422,0531,6092,2452,5122,994
Operating Profit Margin (%) 17.6%15.8%15.2%17.7%21.9%19.3%13.9%17.7%19.4%20.4%
Other Income + 11211588104233163216311494594
Exceptional Items 00000-15-103-1210-175
Interest 455555655952107112122161
Depreciation 101143193253275304310299357382
Profit Before Tax 9659269551,2601,8421,8441,3052,0232,5272,871
Tax 60288181110224164298212311518
Profit After Tax 9056387741,1491,6181,6801,0071,8112,2162,353
PAT Margin (%) 15.9%10.0%10.5%13.8%18.3%15.8%8.7%14.3%17.1%16.0%
Adjusted EPS (₹)74.652.863.694.3132.6137.782.3150.2181.1192.5
Dividend Payout Ratio (%)20.10%24.60%25.20%26.50%22.60%24.70%60.70%26.60%24.80%27.50%
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26

Equity and Liabilities

Shareholders Fund + 4,4674,8635,4386,1597,3768,6379,04510,29311,94913,785
Share Capital 23.9123.9123.9123.9123.9123.9123.9123.9123.9123.91
Reserves 4,4434,8395,4146,1357,3528,6139,02110,26911,92513,761
Debt +6548929031,5771,6642,5801,3071,2131,0461,578
Long Term Debt18213123174289040311492
Short Term Debt4727616711,5041,6362,5711,3071,1737351,085
Minority Interest115122133148181209390402449529
Trade Payables7419619629541,0691,1731,1651,7481,9372,244
Others Liabilities -10617365174121160548404572918
Total Liabilities 5,8727,0107,5019,01310,41112,76012,45414,06015,95319,054

Fixed Assets

Net Fixed Assets +1,7972,2842,5302,9082,7932,9022,6832,8732,8523,871
Gross Block1,9772,6043,0263,6073,7234,1864,0504,5444,7206,070
Accumulated Depreciation1803204966999301,2841,3671,6711,8672,199
CWIP 299381493363393339323159548282
Investments 5534443242613333716224841,8461,869
Inventories1,2061,4421,5001,8192,3123,0062,6082,6612,9223,333
Trade Receivables7141,0811,2481,6491,6071,8852,1322,2532,4662,979
Cash Equivalents 3995776621,0921,9902,5792,6171,5791,5631,733
Others Assets 9048027449209821,6791,4704,0523,7554,987
Total Assets 5,8727,0107,5019,01310,41112,76012,45414,06015,95319,054
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26
Cash Flow From Operating Activity + 4712667805851,2651,1111,6831,9481,9131,963
PBT 9659269551,2601,8421,8441,3052,0232,5272,871
Adjustment 33116216256165209324384104136
Changes in Working Capital -263-573-140-647-341-545327-52-214-415
Tax Paid -264-203-251-283-401-397-273-407-504-629
Cash Flow From Investing Activity + -286-357-316-741-999-1,435113-1,009-1,299-1,667
Capex -634-677-527-348-149-328-230-187-635-487
Net Investments 222230166-445-929-1,205195-1,061-1,012-1,508
Others 1268944527998147239348328
Cash Flow From Financing Activity + -13885-37979-272380-1,761-1,145-811-503
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing 3515-7-181-39-19-1040288114
Interest Paid -64-55-55-65-54-40-90-91-81-123
Dividend Paid -72-181-181-365-335-422-530-540-505-614
Others -38306-136690155861-1,131-553-514120
Net Cash Flow 47-784-77-55535-205-197-208
PARTICULARSMar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23Mar'24Mar'25Mar'26
Ratios
ROE (%)22.1813.6915.0219.8223.9120.9911.3918.7419.9318.29
ROCE (%)21.3117.8616.4918.7122.5618.6913.0919.5221.5621.28
Asset Turnover Ratio1.071.331.481.51.351.321.421.461.291.29
PAT to CFO Conversion(x)0.520.421.010.510.780.661.671.080.860.83
Working Capital Days
Receivable Days4038.2039.7042.7045.3041.7040.9041.3044.6044
Inventory Days6656.3050.1048.9057.5063.5057.1049.6052.8050.60
Payable Days133.50156.40135.70118.20118.20114.8097.40122.90163.20167.80

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Alkem Laboratories Ltd FAQs

The current trading price of Alkem Laboratories on 23-Sep-2026 16:59 is ₹5,414.2.

Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 22-Sep-2026 the market cap of Alkem Laboratories stood at ₹64,734.3 Cr

The latest P/E ratio of Alkem Laboratories as of 22-Sep-2026 is 30.35.

The latest P/B ratio of Alkem Laboratories as of 22-Sep-2026 is 4.44.

The 52-week high of Alkem Laboratories is ₹5,933 and the 52-week low is ₹5,052.1.

The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Alkem Laboratories is ₹9,959 ( Cr.) .

Past 10 year's financial track record analysis by Moneyworks4me indicates that Alkem Laboratories Ltd is a good quality company.

The key valuation ratios of Alkem Laboratories Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Alkem Laboratories Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.

About Alkem Laboratories Ltd

Alkem Laboratories (Alkem) is a leading Indian-origin global pharmaceutical company with expertise across generics, specialty pharmaceuticals, biosimilars, and medical devices. The company is a trusted healthcare provider across both acute and chronic therapy segments.

Innovation remains central to Alkem’s growth strategy. The company has pioneered several technologically advanced and cost-effective pharmaceutical solutions across its integrated value chain, from product development and manufacturing to distribution. Alkem operates across multiple countries and has built an extensive commercial infrastructure.

Alkem’s strong brand equity is underpinned by an experienced management team, robust manufacturing capabilities, an unwavering commitment to quality, and a culture rooted in integrity and resilience. The company is actively investing in several high-growth platforms, including injectables and biosimilars, as well as emerging technology platforms such as mRNA, viral vectors, and antibody-drug conjugates (ADCs).

In India, Alkem holds leadership positions in several acute therapy areas, including anti-infectives, gastrointestinal, pain management, and vitamins, minerals, and nutrients (VMN). The company has maintained its leadership in the anti-infective segment for many years and is also a major player in the trade generics market.

Business area of the company

The company is a leading Indian pharmaceutical company that provides high-quality medicines to patients. It is one of the largest pharmaceutical companies in India, with a strong presence in key therapeutic areas, including anti-infectives, gastrointestinal disorders, pain management, and nutritional supplements.

Offerings of the company

Therapies

  • Anti - Infective
  • Anti-Osteoporosis
  • Cardiology
  • Neurology
  • Dermatology
  • Diabetology
  • Gastroenterology
  • Gynaecology
  • Oncology
  • Ophthalmology
  • Respiratory
  • Rheumatology
  • Urology

Rx Products: The company has a wide range of products spanning multiple Therapeutic Areas (TA) such as Anti-infective, Gastroenterology, Pain Relief/Analgesic, Anti-diabetic, Cardiology, Dermatology, Neurology/Central Nervous System (CNS), and Vitamins, Minerals, and Nutrition.

Alkem Wellness: Alkem Wellness brings Alkem Laboratories' trusted legacy to the trade generics segment, ensuring quality medicines reach every corner of India. With a strong portfolio across key therapies and a nationwide distribution network, it makes dependable healthcare accessible and within reach for all.

Awards and Recognition

2016:

  • Won the 'HR Tech Award for Best use of Technology in Human Resources' by World HRD Congress.
  • Won the Best Demand Planning and Forecasting Company - Pharmaceutical by ISCM's - SCMPro's in Demand Planning and Forecasting Forum Awards 2016.
  • Alkem-Pentacare division won the most enterprising company in leveraging technology in use of Mobile Applications by DigiPharmaX.
  • Brand 'Pan' received ‘Brand of the Year' award in sub-chronic category at AWACS Awards, 2016.
  • Alkem won the Guinness World Record for creating largest Blister Pack Mosiac at RSSDI Hyderabad.

2017:

  • Alkem Corporate Video won the 1st runners up award in the Best Corporate Film for driving Employee Engagement initiatives in the Mega Corporate Film Festival and Awards held in Mumbai.
  • Received the Best Stand-out IR award 2017 by IR Society India in association with KPMG and Bloomberg.
  • Won the People Matters league Awards - Learning & Development 2017 - Best in Cultural Transformation in Mumbai.
  • Won the Guinness world Records for creating largest Bindi Mosiac at RSSDI Bhubaneswar.
  • Won the Rising Digital Star of the Year for various digital initiatives by DigiPharmaX Awards 2017.

2018:

  • Best Innovative CSR Project at CSR Summit & Awards 2018.
  • Brand ‘Clavam’ received Brand of the Year 2018 Award at AWACS Awards for marketing excellence.
  • Business Excellence Award 2018 for Best Range of ICU Products, Pharma and Health Care Summit organized by CIMS (Current Index of Medical Specialties).

2019:

  • Express Pharma Excellence Award at Pharma CXO Summit 2011.
  • Best Use of Technology in Sales Hiring by Global Eminence Digital Awards sponsored by AQUILAA.

2020:

  • CIO Conclave and Awards 2020 in the category ‘Best IT Team of the year’.
  • Alkem Laboratories as Great Place to Work-Certified organization in the large organization category across industries.
  • India's Best Workplaces in Biotechnology & Pharmaceuticals.

2023

  • Indian Family Business Awards 2023 - Winner in the Most Innovative, Disruptive & Transformational category (GIGA Jury Select).
  • Best CSR Performer 2022–23 - Recognised at the 2nd North East CSR Forum (NECSRF) for impactful work in Sikkim.

2024

  • IMAGEXX Silver 2024 For the “50 Years of Excellence” corporate branding campaign by Adgully.
  • Gartner Eye on Innovation 2024 - Recognised at the 16th Express Logistics & Supply Chain Leadership Conclave.
  • India’s Best Workplaces 2024 - Featured by Great Place to Work in Pharma, Healthcare & Biotech.

2025

  • WOW Workplace Award 2025 - Recognised in the Pharmaceutical & Healthcare category for fostering a vibrant, inclusive workplace, based entirely on employee feedback.
  • Best CSR Healthcare Project 2025 - Awarded at the Bharat CSR & Sustainability Awards for its Cancer Care initiative in Bihar.

Milestones

  • 1973: Inception of Alkem Laboratories.
  • 1978: First manufacturing unit was established at Taloja near Mumbai.
  • 1992: Second manufacturing facility established at Mandva, Gujarat which was converted into an API facility in 2005.
  • 2003: First research and development facility established at Taloja.
  • 2006: Taxim became India’s first anti-infective drug to surpass annual sales figure of ` 1,000 million in the domestic market.
  • 2007: Filed the first ANDA in the United States for the drug Amlodipine.
  • 2009: Received the first ANDA approval in the United States for the drug Amlodipine.
  • 2009: Acquired Pharmacor Pty. Ltd., a generic pharmaceutical company in Australia.
  • 2010: Acquired Ascend Laboratories, pharmaceutical company in the United States.
  • 2011: Acquired Enzene, a company engaged in the development of biosimilars in India.
  • 2012: Acquired an API manufacturing facility in the United States.
  • 2014: Acquired the ‘Clindac-A’ brand in India from Galderma S.A.
  • 2014: Clavam surpassed Rs 2,000 million domestic sales figure.
  • 2015: Acquired a formulation manufacturing facility in the United States.
  • 2015: Successfully completed Initial Public Offering (IPO).
  • 2018: Revenue from the US market crossed $200 million in annual sales.
  • 2019: Crossed the revenue milestone of $1 billion.
  • 2020: New manufacturing facilities launched Pune (biologics/biosimilars).
  • 2021: First biosimilar launched from Enzene in India; Pulmocare division debuts in respiratory therapy.
  • 2022: Alkem named “Pharma Company of the Year” at ET Pharma World Awards; Clavam crosses Rs 6 billion in sales.
  • 202324: 50 years of Alkem; Launched Eyecare, ophthalmology division
  • 2024-25: Strategic acceleration: Inclusion in the MSCI India Index 
  • 2024-25: Adroit acquisition
  • 2024-25: Entry into Medtech segment via licensing agreement with Exactech and acquistion of Bombay Ortho.
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