Sun Pharmaceutical Industries Limited

BSE:524715 Stock Report

Market Cap: ₹4.3t

Sun Pharmaceutical Industries Valuation

Is 524715 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 524715 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 524715 (₹1797.8) is trading above our estimate of fair value (₹820.78)

Significantly Below Fair Value: 524715 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 524715?

Key metric: As 524715 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 524715. This is calculated by dividing 524715's market cap by their current earnings.
What is 524715's PE Ratio?
PE Ratio39x
Earnings₹110.54b
Market Cap₹4.31t

Price to Earnings Ratio vs Peers

How does 524715's PE Ratio compare to its peers?

The above table shows the PE ratio for 524715 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average31.9x
CIPLA Cipla
26.8x7.3%₹1.2t
500420 Torrent Pharmaceuticals
59.5x22.7%₹1.1t
500124 Dr. Reddy's Laboratories
19x-1.0%₹1.0t
ZYDUSLIFE Zydus Lifesciences
22.3x0.6%₹955.0b
524715 Sun Pharmaceutical Industries
39x12.7%₹4.3t

Price-To-Earnings vs Peers: 524715 is expensive based on its Price-To-Earnings Ratio (39x) compared to the peer average (31.9x).

Price to Earnings Ratio vs Industry

How does 524715's PE Ratio compare vs other companies in the IN Pharmaceuticals Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
INDSWFTLAB Ind-Swift Laboratories
1.6xn/aUS$70.43m
524652 Ind-Swift
2xn/aUS$13.12m
No more companies available in this PE range
524715 39.0xIndustry Avg. 31.7xNo. of Companies18PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 524715 is expensive based on its Price-To-Earnings Ratio (39x) compared to the Indian Pharmaceuticals industry average (31.6x).

Price to Earnings Ratio vs Fair Ratio

What is 524715's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

524715 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio39x
Fair PE Ratio51.3x

Price-To-Earnings vs Fair Ratio: 524715 is good value based on its Price-To-Earnings Ratio (39x) compared to the estimated Fair Price-To-Earnings Ratio (51.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 524715 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,797.80
₹2,043.32
+13.7%
9.5%₹2,450.00₹1,600.00n/a37
Nov ’25₹1,858.70
₹2,032.58
+9.4%
9.6%₹2,450.00₹1,600.00n/a38
Oct ’25₹1,919.40
₹1,824.05
-5.0%
11.7%₹2,450.00₹1,444.00n/a37
Sep ’25₹1,820.75
₹1,761.31
-3.3%
8.5%₹2,080.00₹1,444.00n/a36
Aug ’25₹1,715.95
₹1,684.58
-1.8%
8.0%₹2,000.00₹1,412.00n/a36
Jul ’25₹1,517.90
₹1,620.39
+6.8%
7.4%₹1,827.00₹1,270.00n/a36
Jun ’25₹1,460.15
₹1,606.53
+10.0%
8.2%₹1,827.00₹1,270.00n/a36
May ’25₹1,502.30
₹1,575.17
+4.9%
8.6%₹1,870.00₹1,275.00n/a35
Apr ’25₹1,630.80
₹1,542.86
-5.4%
8.2%₹1,790.00₹1,200.00n/a35
Mar ’25₹1,558.70
₹1,536.17
-1.4%
7.6%₹1,680.00₹1,200.00n/a36
Feb ’25₹1,406.55
₹1,492.54
+6.1%
9.3%₹1,640.00₹1,200.00n/a37
Jan ’25₹1,259.90
₹1,280.53
+1.6%
5.4%₹1,430.00₹1,020.00n/a36
Dec ’24₹1,231.25
₹1,274.03
+3.5%
5.4%₹1,430.00₹1,020.00n/a37
Nov ’24₹1,116.15
₹1,260.70
+13.0%
5.2%₹1,380.00₹1,020.00₹1,858.7037
Oct ’24₹1,159.10
₹1,242.36
+7.2%
5.9%₹1,340.00₹955.00₹1,919.4036
Sep ’24₹1,108.50
₹1,238.06
+11.7%
6.2%₹1,340.00₹955.00₹1,820.7536
Aug ’24₹1,143.65
₹1,148.89
+0.5%
6.1%₹1,275.00₹870.00₹1,715.9537
Jul ’24₹1,051.40
₹1,143.06
+8.7%
5.8%₹1,275.00₹870.00₹1,517.9036
Jun ’24₹987.50
₹1,142.30
+15.7%
5.8%₹1,275.00₹870.00₹1,460.1537
May ’24₹986.80
₹1,165.68
+18.1%
6.8%₹1,275.00₹875.00₹1,502.3037
Apr ’24₹983.10
₹1,167.57
+18.8%
7.1%₹1,275.00₹845.00₹1,630.8037
Mar ’24₹958.90
₹1,157.50
+20.7%
7.7%₹1,275.00₹845.00₹1,558.7038
Feb ’24₹1,014.15
₹1,157.29
+14.1%
7.7%₹1,275.00₹845.00₹1,406.5538
Jan ’24₹1,000.70
₹1,149.00
+14.8%
7.8%₹1,320.00₹830.00₹1,259.9037
Dec ’23₹1,046.15
₹1,145.03
+9.5%
7.7%₹1,320.00₹830.00₹1,231.2536
Nov ’23₹1,033.10
₹1,100.39
+6.5%
7.5%₹1,320.00₹830.00₹1,116.1536

Analyst Forecast: Target price is less than 20% higher than the current share price.

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