Obermatt

Torrent Pharmaceuticals

NSI:TORNTPHARM · INE685A01028
PharmaceuticalsLarge

360

18
EV / EBIT5
Price / Owner Earnings16
Owner Earnings Yield21
Dividend Yield57
Price/Sales8
EV / Gross Profit11
Price/Book6
Return on Capital57
Cash Return on Capital36
Return on Equity69
EBIT Margin67
Gross Profitability25
Cash Conversion54
Owner Earnings Margin70
Sales growth100
Profit Growth74
Long-Term EPS Growth92
Reinvestment51
Price momentum85
Debt load11
Refinancing14
Debt Payback16
Liquidity40
Analyst ratings63
Opinion Changes57
Price Target Upside32
Market mood59
Value Creation10/20creating some value
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Torrent Pharmaceuticals clears its cost of capital, but the record is mixed across the five tests. Real value creation, just not yet consistent.

Based on 3/5 components.

Profile

CountryIndia
IndustryPharmaceuticals
SizeLarge
TypePublic Company
ExchangeBSE
Founded1972
Employees6,169
ISININE685A01028
Last UpdateApr 2, 2026
Index & Theme
UrologyNephrologyNeurologyDiabetesDermatologyRespiratoryPulmonologyCardiovascularPain ManagementCentral Nervous SystemOncologyBiotechnologyHealth CareMedical Device

Description

Torrent Pharmaceuticals Limited (Torrent Pharmaceuticals) is an Indian pharmaceutical company engaged in the development, manufacture, and marketing of a wide range of pharmaceutical formulations and active pharmaceutical ingredients (APIs). The comp…

Analysis

Hope premium

Torrent Pharmaceuticals Limited is priced well ahead of what the underlying numbers justify, a pattern we describe as a hope premium.

On valuation, the picture is expensive. The owner-earnings multiple stands at 55.9×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around 20% a year, against analyst forecasts of 21%. The price, in other words, assumes less than the experts do.

Growth is solid; the safety picture is stretched. The company scores 10/20 on our value-creation score: creating some value. Analyst sentiment is cautious.

No flags apply to this company at this time: accounts, balance sheet, and cash quality all pass. A clean bill of health is meaningful, not just the absence of a warning. This analysis describes numbers; it is not investment advice.

360° rank · history

1007550250
20
2023202420252026

All-time high

37

Jan 2024

All-time low

9

Jan 2023

Average rank

21

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
8
11
25
33
Price/Earnings
5
19
22
33
Price/Book
6
10
14
34
Dividend Yield
57
50
53
51
Value (overall)
12
13
21
39

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →