Cipla Limited

NSEI:CIPLA Stock Report

Market Cap: ₹1.2t

Cipla Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 CIPLA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CIPLA (₹1472.05) is trading above our estimate of fair value (₹812.62)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for CIPLA. This is calculated by dividing CIPLA's market cap by their current earnings.
What is CIPLA's PE Ratio?
PE Ratio26.6x
Earnings₹44.75b
Market Cap₹1.19t

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for CIPLA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average44x
500420 Torrent Pharmaceuticals
64.5x22.6%₹1.2t
500124 Dr. Reddy's Laboratories
21x-1.2%₹1.1t
500257 Lupin
37.3x16.4%₹979.7b
MANKIND Mankind Pharma
53.1x15.5%₹1.1t
CIPLA Cipla
26.6x7.3%₹1.2t

Price-To-Earnings vs Peers: CIPLA is good value based on its Price-To-Earnings Ratio (26.6x) compared to the peer average (44x).

Price to Earnings Ratio vs Industry

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

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
INDSWFTLAB Ind-Swift Laboratories
1.7xn/aUS$74.49m
524652 Ind-Swift
2.9xn/aUS$18.48m
No more companies available in this PE range
CIPLA 26.6xIndustry Avg. 33.6xNo. of Companies17PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CIPLA is good value based on its Price-To-Earnings Ratio (26.6x) compared to the Indian Pharmaceuticals industry average (33.6x).

Price to Earnings Ratio vs Fair Ratio

What is CIPLA'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.

CIPLA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.6x
Fair PE Ratio40.8x

Price-To-Earnings vs Fair Ratio: CIPLA is good value based on its Price-To-Earnings Ratio (26.6x) compared to the estimated Fair Price-To-Earnings Ratio (40.8x).

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 CIPLA forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,472.05
₹1,629.03
+10.7%
10.2%₹1,960.00₹1,204.00n/a36
Dec ’25₹1,533.90
₹1,630.28
+6.3%
10.3%₹1,960.00₹1,204.00n/a36
Nov ’25₹1,559.55
₹1,625.56
+4.2%
10.1%₹1,960.00₹1,204.00n/a36
Oct ’25₹1,664.85
₹1,648.42
-1.0%
11.6%₹2,060.00₹1,180.00n/a36
Sep ’25₹1,654.90
₹1,621.80
-2.0%
10.8%₹1,900.00₹1,180.00n/a35
Aug ’25₹1,546.20
₹1,620.34
+4.8%
10.7%₹1,900.00₹1,180.00n/a35
Jul ’25₹1,479.10
₹1,506.51
+1.9%
10.3%₹1,780.00₹1,180.00n/a35
Jun ’25₹1,447.20
₹1,490.22
+3.0%
10.5%₹1,780.00₹1,165.00n/a36
May ’25₹1,400.00
₹1,455.71
+4.0%
12.6%₹1,750.00₹1,029.00n/a34
Apr ’25₹1,498.65
₹1,445.18
-3.6%
12.5%₹1,750.00₹1,029.00n/a34
Mar ’25₹1,470.90
₹1,431.77
-2.7%
11.7%₹1,660.00₹1,029.00n/a35
Feb ’25₹1,387.65
₹1,399.86
+0.9%
12.1%₹1,660.00₹1,015.00n/a36
Jan ’25₹1,251.00
₹1,265.19
+1.1%
10.7%₹1,450.00₹967.00n/a36
Dec ’24₹1,205.70
₹1,260.46
+4.5%
10.9%₹1,450.00₹967.00₹1,533.9037
Nov ’24₹1,201.25
₹1,262.19
+5.1%
11.1%₹1,450.00₹967.00₹1,559.5537
Oct ’24₹1,186.15
₹1,186.05
-0.008%
11.1%₹1,420.00₹890.00₹1,664.8537
Sep ’24₹1,245.40
₹1,166.59
-6.3%
10.3%₹1,389.00₹890.00₹1,654.9037
Aug ’24₹1,178.35
₹1,159.45
-1.6%
10.2%₹1,389.00₹890.00₹1,546.2038
Jul ’24₹1,014.95
₹1,057.34
+4.2%
10.1%₹1,278.00₹842.00₹1,479.1037
Jun ’24₹964.75
₹1,057.52
+9.6%
10.0%₹1,278.00₹842.00₹1,447.2038
May ’24₹908.05
₹1,112.60
+22.5%
11.8%₹1,336.00₹870.00₹1,400.0038
Apr ’24₹900.50
₹1,127.36
+25.2%
11.4%₹1,336.00₹870.00₹1,498.6538
Mar ’24₹899.60
₹1,155.85
+28.5%
9.9%₹1,336.00₹930.00₹1,470.9041
Feb ’24₹1,032.05
₹1,177.02
+14.0%
8.7%₹1,336.00₹930.00₹1,387.6541
Jan ’24₹1,075.95
₹1,212.28
+12.7%
9.2%₹1,370.00₹915.00₹1,251.0039
Dec ’23₹1,124.90
₹1,209.72
+7.5%
9.3%₹1,370.00₹915.00₹1,205.7039

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

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 06:06
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Cipla Limited is covered by 74 analysts. 37 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Prashant NairAmbit Capital
Sriraam RathiAnand Rathi Shares and Stock Brokers Limited
null nullAnand Rathi Shares and Stock Brokers Limited