NSE · India · Drug Manufacturers - Specialty & Generic

Torrent Pharmaceuticals Limited TORNTPHARM.NS

Price ₹4,613Mkt cap 1,75,479 croreReports in INRData 1 Nov 2026

Value estimate · 50% DCF, 50% peers₹2,310-49.9%-49.9% vs ₹4,613

DCF (base)₹2,477-46.3% vs price · WACC 8.7%

Peers₹2,1488 peers · median EV/EBITDA 20.9x

Price implies26.4%revenue growth a year; your case 9.6%

Chance worth more6%of 2,000 simulated outcomes

Scenario

drives the result

Scenario probabilities (%)

BearBaseBull

Use the probability-weighted DCF instead of the live scenario

Forecast drivers

Base case, %

Driver	FY27E	FY28E	FY29E	FY30E	FY31E
Revenue growthFY23–FY26 avg 13.4%
EBIT marginFY23–FY26 avg 24.5%
Tax rateFY23–FY26 avg 29.1%
D&A % of revenueFY23–FY26 avg 7.5%
Capex % of revenueFY23–FY26 avg 5.1%
Working capital % of revenue changeFY23–FY26 avg 9.4%

No usable consensus estimate: the first years start from history. The base case fades to 7.0% by year five; bear and bull sit 3 points of growth and 1.5 points of margin either side.

Discount rate

WACC build

INR 10-year government bond yield (%)India 10-year government bond, 21 Oct 2026 (World Government Bonds; Trading Economics 7.44%)

Less: country default spread (%)Damodaran; the Indian bond yield carries some default risk

Beta2 years, weekly vs Nifty 50: 0.47 (R² 0.09)

Equity risk premium (%)Damodaran, July 2026 update

Pre-tax cost of debt (%)starter: bond yield + 1.5 points

Terminal growth g (%)must stay below WACC

Risk-free rate: 5.69%
Cost of equity: 8.94%
Weight of equity: 92.1%
After-tax cost of debt: 6.31%
WACC: 8.73%

Result rules

set before you look

DCF weight (%)peers get 50%

Share price (INR)Yahoo, 30 Oct 2026 (delayed)

Check before you rely on thisYahoo's consensus revenue growth (43%) looks inconsistent with the reported history, so the forecast starts from history instead.

In plain English

The model's numbers as sentences. Every figure comes from the live data and your inputs, so the story changes when you change an input.

Priced for more growth than it has delivered

Caution
At today's price of ₹4,613, the market is pricing in revenue growth of about 26.4% a year for FY27E–FY31E, holding the rest of your base case. Torrent Pharmaceuticals Limited's revenue grew 13.3% a year between FY23 and FY26, so the price asks for more than it has delivered.
Caution
Your base case assumes 9.6% revenue growth a year on average, less than the price implies, and values the shares at ₹2,477, 46% below today's price.
Caution
If your base case comes true, the whole business would return about 7.0% a year at today's price, 1.7 percentage points less than the 8.7% a year the model requires (the WACC).
Caution
About 86% of today's price pays for future growth. The other 14%, ₹658.86 a share, is what FY26 operating profit after tax is worth if it never grows.
Caution
Across 2,000 simulated futures around your base case, the middle 80% of values runs from ₹1,758 to ₹4,038 a share, and 6% of them are worth more than today's price.
Favourable
Business health grade B (76 out of 100): looks mostly healthy, with 5 strengths and 1 red flag (top concern: low return on capital).

Educational, not investment advice. “Favourable” means the numbers lean in today's price's favour; “Caution” means the price asks a lot of the future.

Football field

Every valuation range side by side, against today's price and the value estimate. Per share, in INR.

Show as table

Range	Low	Mid	High
DCF scenarios (bear to bull)	₹2,047	₹2,477	₹3,017
DCF sensitivity (WACC and g ±1 point)	₹1,644	₹2,477	₹5,228
Monte Carlo (middle 80% of 2,000 runs)	₹1,758	₹2,496	₹4,038
EV/EBITDA comps (25th to 75th percentile)	₹1,610	₹2,559	₹3,131
P/E comps (25th to 75th percentile)	₹1,408	₹1,738	₹1,957
Analyst targets (28 analysts, low to high)	₹4,545	₹5,473	₹6,478
52-week share price (trading range)	₹3,533	–	₹5,250

Business health

Is this a good, honest business, not just a cheap one? Published screens on the reported annual accounts (FY23–FY26), plus plain ratios. Screens, not verdicts: read the accounts before relying on any of them.

GradeB76 / 100

Grade B (76/100): looks mostly healthy, with 5 strengths and 1 red flag (top concern: low return on capital).

Piotroski F-score6 / 9nine tests of strength

Altman Z''–not enough data

Beneish M-score−1.78No flag · cut-off −1.78

Red flags 1

Low return on capital: ROCE was 9.6% in FY26, below 10%.

Strengths 5

Profit is backed by cash: operations produced 161% of reported profit over 4 years.
High return for shareholders: ROE was 27.1% in FY26.
Steady growth: revenue rose in each of the last 3 years.
Margins are widening: EBIT margin rose 2.4 points from FY23 to FY26.
The accounts don't match the manipulator pattern: Beneish M-score is −1.78, below the −1.78 cut-off.

Cash conversion Good161%Operating cash flow ÷ net profit, FY23–FY26. 90% or more means profit is backed by cash.

Return on capital (ROCE) Weak9.6%EBIT ÷ (total assets − current liabilities), FY26. 15% or more is strong.

Return on equity Good27.1%Net profit ÷ average shareholders' equity, FY26. 15% or more is strong.

Interest cover Good8.9xEBIT ÷ interest cost, FY26. 5x or more is comfortable; below 2x is risky.

Net debt ÷ EBITDA Fair2.8x(Borrowings − cash) ÷ (EBIT + D&A), FY26. 1.5x or less is comfortable; above 3.5x is heavy.

Receivable days Fair80 daysReceivables ÷ revenue × 365. Up from 75 days in FY23; a rise of more than 20 days is a warning.

Share count change Good0.0% a yearWeighted diluted shares, a year, FY23–FY26. Above 2% a year is heavy dilution; shares issued for mergers count too.

Paid out to shareholders Info60.9%Dividends and buybacks ÷ net profit, FY23–FY26. Neither high nor low is good on its own: it depends on how well the company could reinvest.

Stock-based pay n/a–Stock-based compensation not reported.

Years of revenue growth Good3 of 3Years in which revenue beat the year before, FY23–FY26.

EBIT margin trend Good+2.4 ptsFrom 22.6% in FY23 to 25.0% in FY26.

Piotroski's tests, one by one (6 passed of 9)

PASS
Made a profit Return on assets 14.4% in FY26
A company that loses money on its assets is using up its owners' capital.
PASS
Operations brought in cash Operating cash flow ₹3,023 crore in FY26
Profit has to arrive as cash in the end, and cash flow is harder to dress up than profit.
PASS
Return on assets improved 14.4% vs FY25's 12.7%
Rising profitability is one of the clearest signs a business is getting stronger.
PASS
Cash from operations beat profit Cash ₹3,023 crore vs profit ₹2,163 crore
When cash lags profit, earnings may rest on generous accounting or customers who pay late.
FAIL
Long-term debt fell relative to assets Long-term debt 39.3% of average assets vs FY25's 7.9%
More debt leaves less room for error when business slows.
FAIL
Short-term liquidity improved Current ratio 1.13 vs FY25's 1.19
More short-term assets per rupee of bills due within a year means less risk of a cash squeeze.
PASS
No new shares issued Diluted shares 0.0% vs FY25
Issuing shares shrinks each owner's slice and can mean the company could not fund itself.
FAIL
Gross margin improved Gross margin 74.4% vs FY25's 74.5%
A higher gross margin points to pricing power or falling costs.
PASS
Assets worked harder (turnover up) Revenue ÷ assets 0.92x vs FY25's 0.75x
More sales from the same assets means the business uses its capital better.

F-score by year: FY24 9/9 · FY25 9/9

How the Altman and Beneish scores are built

Beneish M = -1.78
Index	Value	Manipulators	Others
Receivables growing faster than sales (DSRI)	1.336	1.465	1.031
Gross margin slipping (GMI)	1.002	1.193	1.014
More hard-to-value assets (AQI)	1.815	1.254	1.039
Sales growth (SGI)	1.215	1.607	1.134
Depreciation slowing (DEPI)	0.993	1.077	1.001
Overheads vs sales (SGAI)	0.985	1.041	1.054
Profit not backed by cash, ÷ assets (TATA)	-0.019	0.031	0.018
Leverage rising (LVGI)	1.145	1.111	1.037

FY26 against FY25. Above −1.78 the pattern resembles companies later found to have manipulated earnings; some analysts use a stricter −2.22.

How to read this

Piotroski F-score (Joseph Piotroski, 2000): nine pass-or-fail tests of profitability, debt, liquidity and efficiency, each comparing the latest year with the one before. 7 or more is strong; 3 or fewer is weak.

Altman Z'' (Edward Altman, 1995, the version for non-manufacturers and emerging markets): combines working capital, retained earnings, operating profit and book equity relative to the balance sheet. Above 2.60 is the safe zone, below 1.10 the distress zone.

Beneish M-score (Messod Beneish, 1999): eight ratios that, in his study, separated companies later found to have manipulated earnings. Above −1.78 resembles that pattern. It is a prompt to read the notes to the accounts, not an accusation.

Grade: a 0 to 100 blend (Piotroski 40%, Altman 20%, Beneish 15%, the ratios 25%, re-weighted when a part is missing): A from 80, B from 65, C from 50, D from 35, E below.

All three screens were built on US companies and annual accounts from Yahoo Finance, which can be incomplete. Lenders, insurers and holding companies get financial-firm ratios instead of the Altman and Beneish screens.

Altman Z'' could not be computed: FY26 lacks retained earnings.
Not available from the data: stock-based pay.

What analysts expect

Price targets and ratings from the brokers' analysts who cover the stock, as Yahoo collects them. Their opinion, not this app's; set against the model so you can see where you differ.

28 analysts' average 12-month target is ₹5,473, +18.6% against today's ₹4,613 (median ₹5,600). The range runs from ₹4,545 to ₹6,478.

Ratings this month: 23 buy, 4 hold, 1 sell; the average works out to "Buy" (1.6 on a 1 to 5 scale, 1 = strong buy).

Your value estimate of ₹2,310 is 58% below the analysts' average: a big gap is worth explaining, it usually comes down to growth or margin assumptions.

Targets are usually for 12 months ahead and tend to run optimistic; brokers that cover a company often do business with it. Counts and targets come from different updates, so they may not match exactly.

Risk and likely range

How much the shares have swung and how far they have fallen over five years. Risk repeats far more reliably than direction, so this is the honest kind of forecast: how far the price may move, not which way.

Loading five years of prices…

What the price implies

A reverse DCF: the constant revenue growth, or the constant EBIT margin, that makes the DCF equal today's price, holding everything else in your base case.

Implied revenue growth, a year26.4%Your base case averages 9.6%. The market expects more growth than you do.

Implied EBIT margin48.0%Your base case averages 25.0%; the last reported year was 25.0%.

What you'd earn at today's price

The yearly return on the whole business at today's price if your base case comes true, against the return the model requires and what a government bond pays.

Caution

If your base case comes true, today's price earns about 7.0% a year, 1.7 percentage points less than the 8.7% the model requires.

Expected returnif your base case comes true7.0%
Required return (WACC)what the model discounts at8.7%
Government bondwhat the INR 10-year government bond pays7.4%

What the price pays for

Today's business, no growth14%₹658.86 a share: earnings power value

Future growth86%₹3,955 a share

Earnings yield1.2%₹55.85 trailing EPS ÷ price

Free cash flow yield1.7%FY27E forecast ÷ market value

10-year bond7.4%interest a year

Cost of equity8.9%what shareholders require

Context

Every ₹100 of share price buys ₹1.21 of today's profit a year, less than the ₹7.44 of interest the bond pays: the price counts on profits growing.

How these are worked out

Expected return (an internal rate of return). Imagine buying the whole company at today's price: its shares and its debt, less its cash. The expected return is the yearly rate that makes the free cash flows in your base case, plus the value after FY31E growing at 5.0%, add up to exactly today's price. When it is above the WACC, the price sits below your DCF value. It only comes true if the forecast does.

Earnings power value. What the business is worth if its last reported operating profit never grows or shrinks (a simplified version of Bruce Greenwald's method). It treats depreciation as the spending needed to stand still, and uses reported rather than average profit, so one unusual year moves it.

FY26 operating profit (EBIT), ₹ crore: 3,440
After tax at 29.1%: 2,439
Held flat for ever: ÷ WACC of 8.7%: 27,929
+ Cash − debt, leases, minorities and dividends since the balance sheet: -2,869
÷ Shares, per share: ₹658.86

Earnings yield is the profit a year you buy with each unit of price (the P/E turned upside down). Free cash flow yield is the same idea with next year's forecast cash flow.

Show as table

Measure	Value
Expected return (IRR), base case	7.0%
Required return (WACC)	8.7%
Expected minus required	−1.7 pts
Cost of equity	8.9%
10-year government bond	7.4%
Earnings power value per share	₹658.86
Share of price paying for growth	86%
Earnings yield	1.2%
Free cash flow yield	1.7%

Three scenarios

Revenue path for each scenario and its value per share with the same WACC and terminal growth.

Bear · 25%₹2,047-55.6% vs price

Base · 50%₹2,477-46.3% vs price

Bull · 25%₹3,017-34.6% vs price

Probability-weighted₹2,504-45.7% vs price

ReportedBearBaseBull

Show as table

Revenue, ₹ crore	FY23	FY24	FY25	FY26	FY27E	FY28E	FY29E	FY30E	FY31E
Reported	9,464	10,562	11,317	13,753
Bear					15,183	16,276	17,269	18,150	18,876
Base					15,596	17,187	18,751	20,269	21,688
Bull					16,008	18,122	20,314	22,569	24,826

Monte Carlo

2,000 simulated futures around your base case. Each run shifts growth, margin, WACC and terminal growth at random using the spreads below (one standard deviation).

Growth spread (± pts)Margin spread (± pts)WACC spread (± pts)Terminal growth spread (± pts)

Worth more than the price6%of runs above ₹4,613

Median outcome₹2,496-45.9% vs price

Downside (10th pct)₹1,7581 run in 10 is lower

Upside (90th pct)₹4,0381 run in 10 is higher

Runs below today's priceRuns above it

Free cash flow, base case

FCF = EBIT × (1 − tax) + D&A − capex − increase in working capital, discounted at the WACC from today to each fiscal year end.

Free cash flowPresent value

₹ crore	FY27E	FY28E	FY29E	FY30E	FY31E
Revenue	15,596	17,187	18,751	20,269	21,688
EBIT	3,899	4,297	4,688	5,067	5,422
NOPAT = EBIT × (1 − tax)	2,764	3,046	3,324	3,593	3,844
+ D&A	1,170	1,289	1,406	1,520	1,627
− Capex	795	877	956	1,034	1,106
− Increase in working capital	166	143	141	137	128
Free cash flow	2,973	3,316	3,633	3,943	4,237
Present value	2,873	2,946	2,969	2,963	2,929
Years to year end (t)	0.41	1.41	2.41	3.41	4.41

From cash flows to a share price

Enterprise value plus cash, minus debt, leases, minority interests and cash already returned to shareholders since the balance sheet, divided by the shares.

Present value of FCF: 14,680
Present value of terminal value: 82,402
Enterprise value: 97,082
+ Cash and short-term investments (31 Mar 2026): 2,355
− Borrowings: 14,798
− Lease liabilities: 227
− Minority interests: 9,196
− Dividends since the balance sheet: -18,998
Equity value: 94,213
÷ Shares outstanding: 38.04 crore
Value per share: ₹2,477

All amounts in ₹ crore. Dividends with ex-dates after 2026-03-31: 2026-05-29 (9.00 per share); about 42 million shares issued since then, counted as cash raised at today's price.

Terminal value share of enterprise value84.9%Above 75%: most of the value comes after the forecast years.

Sensitivity: WACC against terminal growth

DCF value per share, base case. Blue cells sit above today's price, red cells below; the outlined cell is your current pair.

g ↓ · WACC →	7.73%	8.23%	8.73%	9.23%	9.73%
4.0%	₹2,554	₹2,246	₹2,003	₹1,806	₹1,644
4.5%	₹2,912	₹2,515	₹2,212	₹1,973	₹1,779
5.0%	₹3,402	₹2,868	₹2,477	₹2,178	₹1,943
5.5%	₹4,110	₹3,349	₹2,824	₹2,439	₹2,146
6.0%	₹5,228	₹4,047	₹3,298	₹2,781	₹2,403

Peers

Found from Yahoo's related stocks in the same industry; multiples rebuilt here so currencies match. Untick a peer to drop it, or add your own.

Company	In median	EV/EBITDA	P/E	EV/Sales	P/B	Op. margin	Rev. growth
Alkem Laboratories Limited ALKEM.NS Drug Manufacturers - Specialty & Generic		20.2x	28.3x	3.9x	4.4x	17.8%	10.9%
Aurobindo Pharma Limited AUROPHARMA.NS Drug Manufacturers - Specialty & Generic		13.4x	26.1x	2.7x	2.6x	15.2%	16.3%
Divi's Laboratories Limited DIVISLAB.NS Drug Manufacturers - Specialty & Generic		64.7x	88.8x	22.8x	15.5x	36.7%	27.8%
Ajanta Pharma Limited AJANTPHARM.NS Drug Manufacturers - Specialty & Generic		23.8x	34.3x	6.8x	8.9x	29.3%	35.3%
Ipca Laboratories Limited IPCALAB.NS Drug Manufacturers - Specialty & Generic		21.5x	37.4x	4.8x	6.1x	20.0%	20.8%
Abbott India Limited ABBOTINDIA.NS Drug Manufacturers - Specialty & Generic		27.4x	33.9x	7.5x	11.5x	27.7%	4.3%
Alembic Pharmaceuticals Limited APLLTD.NS Drug Manufacturers - Specialty & Generic		14.9x	22.6x	2.2x	2.8x	10.9%	25.7%
Lupin Limited LUPIN.NS Drug Manufacturers - Specialty & Generic		10.5x	16.6x	3.0x	4.1x	25.4%	32.0%
Median of included	8	20.9x	31.1x	4.4x	5.2x
Torrent Pharmaceuticals Limited	–	34.6x	82.6x	11.3x	18.6x	25.0%	21.5%

Add a peer

Implied value per share	25th pct	Median	75th pct
EV/EBITDA × EBITDA + net cash	₹1,610 (14.5x)	₹2,559 (20.9x)	₹3,131 (24.7x)
P/E × earnings per share	₹1,408 (25.2x)	₹1,738 (31.1x)	₹1,957 (35.0x)
P/B × book value per share	₹933 (3.8x)	₹1,301 (5.2x)	₹2,365 (9.5x)
EV/Sales × revenue + net cash (check only)	₹772 (2.9x)	₹1,419 (4.4x)	₹2,635 (7.0x)
Peer value (average of median EV/EBITDA and median P/E prices)		₹2,148

Against its own past

Is today's multiple high or low for this stock? Its P/E (price ÷ earnings per share) or P/B (price ÷ book value per share) month by month, against the range it has traded in.

Loading ten years of monthly prices…

Pitch summary

Three pieces of evidence that lead to a view. The client summary button copies all of this as text.

1 · Margins-1 bpsEBIT margin change from the last reported year (25.0%) to FY31E (25.0%)

2 · Valuation vs peers+65.6%Torrent Pharmaceuticals Limited EV/EBITDA against the peer median; negative means cheaper

3 · Cash1.7%FCF yield: FY27E free cash flow ÷ market value at today's price

Torrent Pharmaceuticals Limited (TORNTPHARM.NS), valuation summary, 1 Nov 2026
Value estimate ₹2,310 (-49.9% vs today's price of ₹4,613).

• DCF (base case): ₹2,477 per share. WACC 8.73%, terminal growth 5.0%; terminal value is 85% of enterprise value.
• Peers: ₹2,148 per share (average of median EV/EBITDA and median P/E prices; 8 peers).
• Scenarios: bear ₹2,047, base ₹2,477, bull ₹3,017; probability-weighted ₹2,504.
• What the price implies: 26.4% revenue growth a year for FY27E–FY31E, against 9.6% in this forecast.
• Monte Carlo: 6% of 2,000 simulated outcomes are above today's price; middle 80% ₹1,758 to ₹4,038.
• Key assumptions (base): revenue growth 13.4% → 10.2% → 9.1% → 8.1% → 7.0%; EBIT margin 25.0% to 25.0%; tax 29.1%.
• Checks: all pass.

Data: Yahoo Finance via yahoo-finance2 (unofficial; delayed prices), as of 1 Nov 2026. Educational model, not investment advice.

Model checks

7 pass, 0 to review.

PASSWACC is above terminal growth g
PASSThe DCF gives a positive value per share
PASSShares × price is within 2% of the reported market cap
PASSScenario values are in order: bear ≤ base ≤ bull
PASSAt least three peers are in the medians
PASSTerminal value is less than 85% of enterprise value
PASSThe forecast starts after the last reported year

Company data

What the model uses, from Yahoo Finance via yahoo-finance2 (unofficial; delayed prices). Edit any number that looks wrong; your edits stay in this browser and are marked.

₹ crore	FY23	FY24	FY25	FY26	Avg ratio
Revenue					growth 13.4%
EBIT (operating profit)					margin 24.5%
D&A					7.5%
Profit before tax
Tax					rate 29.1%
Capex					5.1%
Increase in working capital					9.4% of Δrev

Cash and short-term investments (₹ crore)
Borrowings (₹ crore)
Lease liabilities (₹ crore)
Minority interests (₹ crore)
Dividends since the balance sheet (₹ crore)

Revenue, trailing 12 months (₹ crore)
EBITDA, trailing 12 months (₹ crore)
Net income, trailing 12 months (₹ crore)
Shares outstanding (crore)

FY labels follow Indian fiscal years ending in March. Shares: 380,367,856. Price ₹4,613 at Fri, 30 Oct 2026 09:58:23 GMT.

Loading prices, five years of statements and peers…

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Driver

FY27E

FY28E

FY29E

FY30E

FY31E

Revenue growthFY23–FY26 avg 13.4%

EBIT marginFY23–FY26 avg 24.5%

Tax rateFY23–FY26 avg 29.1%

D&A % of revenueFY23–FY26 avg 7.5%

Capex % of revenueFY23–FY26 avg 5.1%

Working capital % of revenue changeFY23–FY26 avg 9.4%

Range

Low

Mid

High

DCF scenarios (bear to bull)

₹2,047

₹2,477

₹3,017

DCF sensitivity (WACC and g ±1 point)

₹1,644

₹2,477

₹5,228

Monte Carlo (middle 80% of 2,000 runs)

₹1,758

₹2,496

₹4,038

EV/EBITDA comps (25th to 75th percentile)

₹1,610

₹2,559

₹3,131

P/E comps (25th to 75th percentile)

₹1,408

₹1,738

₹1,957

Analyst targets (28 analysts, low to high)

₹4,545

₹5,473

₹6,478

52-week share price (trading range)

₹3,533

–

₹5,250

Beneish M = -1.78

Index

Value

Manipulators

Others

Receivables growing faster than sales (DSRI)

1.336

1.465

1.031

Gross margin slipping (GMI)

1.002

1.193

1.014

More hard-to-value assets (AQI)

1.815

1.254

1.039

Sales growth (SGI)

1.215

1.607

1.134

Depreciation slowing (DEPI)

0.993

1.077

1.001

Overheads vs sales (SGAI)

0.985

1.041

1.054

Profit not backed by cash, ÷ assets (TATA)

-0.019

0.031

0.018

Leverage rising (LVGI)

1.145

1.111

1.037

Measure

Value

Expected return (IRR), base case

7.0%

Required return (WACC)

8.7%

Expected minus required

−1.7 pts

Cost of equity

8.9%

10-year government bond

7.4%

Earnings power value per share

₹658.86

Share of price paying for growth

86%

Earnings yield

1.2%

Free cash flow yield

1.7%

Revenue, ₹ crore

FY23

FY24

FY25

FY26

FY27E

FY28E

FY29E

FY30E

FY31E

Reported

9,464

10,562

11,317

13,753

Bear

15,183

16,276

17,269

18,150

18,876

Base

15,596

17,187

18,751

20,269

21,688

Bull

16,008

18,122

20,314

22,569

24,826

₹ crore

FY27E

FY28E

FY29E

FY30E

FY31E

Revenue

15,596

17,187

18,751

20,269

21,688

EBIT

3,899

4,297

4,688

5,067

5,422

NOPAT = EBIT × (1 − tax)

2,764

3,046

3,324

3,593

3,844

+ D&A

1,170

1,289

1,406

1,520

1,627

− Capex

795

877

956

1,034

1,106

− Increase in working capital

166

143

141

137

128

Free cash flow

2,973

3,316

3,633

3,943

4,237

Present value

2,873

2,946

2,969

2,963

2,929

Years to year end (t)

0.41

1.41

2.41

3.41

4.41

g ↓ · WACC →

7.73%

8.23%

8.73%

9.23%

9.73%

4.0%

₹2,554

₹2,246

₹2,003

₹1,806

₹1,644

4.5%

₹2,912

₹2,515

₹2,212

₹1,973

₹1,779

5.0%

₹3,402

₹2,868

₹2,477

₹2,178

₹1,943

5.5%

₹4,110

₹3,349

₹2,824

₹2,439

₹2,146

6.0%

₹5,228

₹4,047

₹3,298

₹2,781

₹2,403

Company

In median

EV/EBITDA

P/E

EV/Sales

P/B

Op. margin

Rev. growth

Alkem Laboratories Limited ALKEM.NS

Drug Manufacturers - Specialty & Generic

20.2x

28.3x

3.9x

4.4x

17.8%

10.9%

Aurobindo Pharma Limited AUROPHARMA.NS

Drug Manufacturers - Specialty & Generic

13.4x

26.1x

2.7x

2.6x

15.2%

16.3%

Divi's Laboratories Limited DIVISLAB.NS

Drug Manufacturers - Specialty & Generic

64.7x

88.8x

22.8x

15.5x

36.7%

27.8%

Ajanta Pharma Limited AJANTPHARM.NS

Drug Manufacturers - Specialty & Generic

23.8x

34.3x

6.8x

8.9x

29.3%

35.3%

Ipca Laboratories Limited IPCALAB.NS

Drug Manufacturers - Specialty & Generic

21.5x

37.4x

4.8x

6.1x

20.0%

20.8%

Abbott India Limited ABBOTINDIA.NS

Drug Manufacturers - Specialty & Generic

27.4x

33.9x

7.5x

11.5x

27.7%

4.3%

Alembic Pharmaceuticals Limited APLLTD.NS

Drug Manufacturers - Specialty & Generic

14.9x

22.6x

2.2x

2.8x

10.9%

25.7%

Lupin Limited LUPIN.NS

Drug Manufacturers - Specialty & Generic

10.5x

16.6x

3.0x

4.1x

25.4%

32.0%

Median of included

20.9x

31.1x

4.4x

5.2x

Torrent Pharmaceuticals Limited

–

34.6x

82.6x

11.3x

18.6x

25.0%

21.5%

Implied value per share

25th pct

Median

75th pct

EV/EBITDA × EBITDA + net cash

₹1,610 (14.5x)

₹2,559 (20.9x)

₹3,131 (24.7x)

P/E × earnings per share

₹1,408 (25.2x)

₹1,738 (31.1x)

₹1,957 (35.0x)

P/B × book value per share

₹933 (3.8x)

₹1,301 (5.2x)

₹2,365 (9.5x)

EV/Sales × revenue + net cash (check only)

₹772 (2.9x)

₹1,419 (4.4x)

₹2,635 (7.0x)

Peer value (average of median EV/EBITDA and median P/E prices)

₹2,148

Torrent Pharmaceuticals Limited (TORNTPHARM.NS), valuation summary, 1 Nov 2026 Value estimate ₹2,310 (-49.9% vs today's price of ₹4,613). • DCF (base case): ₹2,477 per share. WACC 8.73%, terminal growth 5.0%; terminal value is 85% of enterprise value. • Peers: ₹2,148 per share (average of median EV/EBITDA and median P/E prices; 8 peers). • Scenarios: bear ₹2,047, base ₹2,477, bull ₹3,017; probability-weighted ₹2,504. • What the price implies: 26.4% revenue growth a year for FY27E–FY31E, against 9.6% in this forecast. • Monte Carlo: 6% of 2,000 simulated outcomes are above today's price; middle 80% ₹1,758 to ₹4,038. • Key assumptions (base): revenue growth 13.4% → 10.2% → 9.1% → 8.1% → 7.0%; EBIT margin 25.0% to 25.0%; tax 29.1%. • Checks: all pass. Data: Yahoo Finance via yahoo-finance2 (unofficial; delayed prices), as of 1 Nov 2026. Educational model, not investment advice.

₹ crore

FY23

FY24

FY25

FY26

Avg ratio

Revenue

growth 13.4%

EBIT (operating profit)

margin 24.5%

D&A

7.5%

Profit before tax

Tax

rate 29.1%

Capex

5.1%

Increase in working capital

9.4% of Δrev