Current Rating and Its Significance
MarketsMOJO's 'Buy' rating for Venus Remedies Ltd indicates a positive outlook on the stock, suggesting that investors may consider adding it to their portfolios based on its present attributes. This rating reflects a balanced assessment of the company's quality, valuation, financial trend, and technical indicators. While the rating was adjusted from 'Strong Buy' to 'Buy' on 01 February 2026, the current data as of 25 February 2026 continues to support a favourable investment stance.
Quality Assessment
As of 25 February 2026, Venus Remedies Ltd holds an average quality grade. The company maintains a low debt-to-equity ratio, effectively zero, which minimises financial risk and enhances stability. Its operational performance has been robust, with a remarkable 96.37% growth in operating profit reported in the December 2025 quarter. This marks the fifth consecutive quarter of positive results, underscoring consistent operational strength. Additionally, the company boasts a return on capital employed (ROCE) of 13.99% for the half-year, signalling efficient use of capital to generate profits. Inventory turnover is also strong at 6.58 times, reflecting effective inventory management and operational efficiency.
Valuation Perspective
The valuation grade for Venus Remedies Ltd is currently attractive. The stock trades at a price-to-book value of 1.6, which is reasonable compared to its peers and historical averages. The return on equity (ROE) stands at 10.5%, indicating solid profitability relative to shareholder equity. Importantly, the company’s price-to-earnings-to-growth (PEG) ratio is an exceptionally low 0.1, suggesting that the stock is undervalued relative to its earnings growth potential. This valuation profile makes the stock appealing for investors seeking growth at a fair price.
Financial Trend and Performance
The financial trend for Venus Remedies Ltd is very positive. As of 25 February 2026, the stock has delivered an impressive 117.68% return over the past year, significantly outperforming the broader market benchmarks such as the BSE500 index. Profit growth has been even more pronounced, with a 182.3% increase over the same period. The company’s quarterly PBDIT reached a high of ₹37.52 crores, reflecting strong earnings momentum. Institutional investors have shown growing confidence, increasing their stake by 0.67% in the previous quarter to hold a collective 3.28% of the company. This rising institutional participation often signals favourable long-term prospects and improved market perception.
Technical Analysis
From a technical standpoint, Venus Remedies Ltd is mildly bullish. Despite a recent one-day decline of 4.29% and a one-week drop of 14.30%, the stock has demonstrated resilience with a modest 0.21% gain over three months and a substantial 36.22% rise over six months. Year-to-date, the stock is down 11.73%, reflecting some short-term volatility, but the longer-term trend remains positive. The technical indicators suggest that the stock is positioned for potential upward movement, supported by its fundamental strengths.
Implications for Investors
For investors, the 'Buy' rating on Venus Remedies Ltd signals a favourable risk-reward profile. The company’s solid financial health, attractive valuation, and positive earnings trajectory provide a compelling case for investment. While the stock has experienced some short-term price fluctuations, its long-term performance and institutional backing offer reassurance. Investors should consider this rating as an endorsement of the stock’s potential to deliver value, while also remaining mindful of market dynamics and sector-specific risks inherent in the Pharmaceuticals & Biotechnology industry.
Sector and Market Context
Operating within the Pharmaceuticals & Biotechnology sector, Venus Remedies Ltd is classified as a microcap company. Despite its smaller market capitalisation, the company has managed to outperform broader indices such as the BSE500 over one, three, and three-month periods. This outperformance highlights its ability to generate superior returns relative to larger peers and the overall market. The sector itself remains dynamic, driven by innovation and regulatory developments, which can present both opportunities and challenges for investors.
Handpicked from 50, scrutinized by experts – Our recent selection, this Mid Cap from Bank - Public, is already delivering results. Don't miss next month's pick!
- - Expert-scrutinized selection
- - Already delivering results
- - Monthly focused approach
Summary of Key Metrics as of 25 February 2026
Venus Remedies Ltd’s current Mojo Score stands at 70.0, reflecting a solid 'Buy' grade. The company’s financial strength is underscored by a zero debt-to-equity ratio, a high operating profit growth of 96.37%, and a return on capital employed of nearly 14%. Its valuation remains attractive with a price-to-book ratio of 1.6 and a PEG ratio of 0.1, signalling undervaluation relative to growth. The stock’s market performance has been robust, delivering over 117% returns in the past year, supported by increasing institutional interest and a mildly bullish technical outlook.
Conclusion
In conclusion, Venus Remedies Ltd’s 'Buy' rating by MarketsMOJO is well supported by its current fundamentals and market performance. Investors looking for exposure in the Pharmaceuticals & Biotechnology sector may find this stock an appealing option due to its strong earnings growth, attractive valuation, and positive technical signals. While the rating was last updated on 01 February 2026, the comprehensive analysis as of 25 February 2026 confirms the stock’s potential to deliver value in the medium to long term.
Only Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Start Today
