Divi's Laboratories Limited (DIVISLAB.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

-66.6%

₹3,321.49

vs ₹9,949.50 price

Levered DCF

₹2,645.32

After debt service

Piotroski score

3 / 9

Weak

Altman Z-score

—

Rating

Overall 2 / 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	61.47×	67.24×	59.2×	41.1×	39.47×	48.47×	38.36×	33.82×
P/B	9.42×	9.84×	6.98×	5.87×	9.96×	10.35×	7.22×	6.58×
P/S	14.95×	15.8×	12.15×	9.78×	13.28×	14.02×	9.98×	9.52×
EV / EBITDA	40.71×	44.25×	37.09×	27.57×	28.95×	32.22×	26.25×	22.63×
Gross margin	43.2%	58.5%	58.1%	58.5%	64.9%	64.5%	89.4%	95.9%
Operating margin	28.2%	27.6%	23.5%	26.4%	40.6%	38.1%	31.0%	35.6%
Net margin	24.3%	23.5%	20.5%	23.8%	33.6%	28.9%	26.0%	28.2%
Current ratio	5.43×	6.94×	7.57×	8.46×	6.99×	5.55×	5.05×	5.49×
Debt / equity	0×	0×	0×	0×	0×	0×	0.01×	0.02×
Interest coverage	129.48×	857×	610.67×	1,034.18×	1,795.86×	1,251.67×	230.13×	600.15×
Dividend yield	0.5%	0.5%	0.8%	1.1%	0.5%	0.0%	1.9%	0.7%
Payout ratio	31.0%	36.3%	49.8%	43.7%	17.9%	0.0%	74.4%	23.7%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	15.3%	14.6%	11.8%	14.3%	25.2%	21.3%	18.8%	19.4%
Return on invested capital	12.5%	12.5%	9.5%	11.7%	23.6%	20.1%	16.2%	17.1%
Return on assets	12.8%	12.9%	10.3%	12.6%	22.1%	18.4%	16.1%	16.8%
Free cash flow yield	0.3%	0.3%	0.3%	2.6%	1.0%	1.1%	0.1%	0.5%
Earnings yield	1.6%	1.5%	1.7%	2.4%	2.5%	2.1%	2.6%	3.0%
Enterprise value	₹1.6T	₹1.5T	₹943.6B	₹747.9B	₹1.2T	₹941.5B	₹528B	₹458.4B
Net debt / EBITDA	-0.03×	-0.13×	-0.14×	-0.06×	-0.3×	-0.69×	-0×	0.05×
Cash conversion cycle (days)	274	344	365	343	341	293	931	2,384