Ajanta Pharma Limited (AJANTPHARM.NS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+64.5%

₹5,458.65

vs ₹3,318.80 price

Levered DCF

₹5,554.71

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

18.51

Safe zone

Rating

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	33.18×	35.58×	34.54×	26.34×	21.96×	23.86×	25.49×	23.53×
P/B	7.74×	8.64×	7.9×	4.57×	4.79×	5.21×	4.59×	4.06×
P/S	6.43×	7.14×	6.77×	4.18×	4.77×	5.48×	4.65×	4.52×
EV / EBITDA	22.46×	24.1×	22.36×	17.23×	14.8×	15.09×	15.29×	15.4×
Gross margin	51.4%	75.4%	73.2%	69.9%	73.0%	76.0%	96.9%	103.9%
Operating margin	24.3%	24.6%	25.1%	18.3%	24.7%	31.4%	23.8%	24.9%
Net margin	19.4%	20.1%	19.6%	15.9%	21.7%	23.0%	18.3%	19.2%
Current ratio	2.64×	2.85×	3.05×	2.49×	3.5×	3.13×	2.71×	3.13×
Debt / equity	0.06×	0.01×	0.01×	0.01×	0.01×	0.01×	0.03×	0.02×
Interest coverage	82.23×	54.44×	145.03×	116.4×	79.6×	107.89×	51.26×	433.68×
Dividend yield	1.0%	1.1%	2.3%	0.6%	0.5%	0.5%	1.0%	0.9%
Payout ratio	33.1%	38.0%	78.7%	15.3%	11.5%	12.7%	24.8%	20.4%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	23.3%	24.3%	22.9%	17.4%	21.8%	21.8%	18.0%	17.2%
Return on invested capital	20.5%	21.7%	20.4%	15.1%	18.6%	20.6%	15.5%	16.1%
Return on assets	17.2%	18.4%	17.6%	12.6%	17.6%	17.3%	14.1%	14.4%
Free cash flow yield	0.4%	2.6%	2.2%	4.0%	2.6%	2.6%	1.8%	0.3%
Earnings yield	3.0%	2.8%	2.9%	3.8%	4.6%	4.2%	3.9%	4.2%
Enterprise value	₹352B	₹326.3B	₹280.9B	₹151.9B	₹154.7B	₹154.6B	₹117.9B	₹90.5B
Net debt / EBITDA	0.1×	-0.1×	-0.07×	-0.33×	-0.17×	-0.14×	-0.17×	-0.1×
Cash conversion cycle (days)	179	240	229	232	304	305	610	-877