Piramal Pharma Stock Falls to 52-Week Low of Rs.169.15 Amidst Continued Downtrend

Recent Price Movement and Market Context

On 16 Dec 2025, Piramal Pharma's stock price touched Rs.169.15, the lowest level recorded in the past 52 weeks. This new low comes after two consecutive sessions of decline, during which the stock lost approximately 2.75% in value. The day's performance showed a further dip of 1.14%, underperforming the Pharmaceuticals & Biotechnology sector by 0.86%.

The broader market context reveals a mixed scenario. The Sensex opened lower by 187.75 points and was trading at 84,901.84, down 0.37% on the day. Despite this, the Sensex remains close to its 52-week high of 86,159.02, just 1.48% away, and is supported by bullish moving averages with the 50-day moving average positioned above the 200-day moving average.

In contrast, Piramal Pharma is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a sustained weakness in its price trend relative to the broader market.

Performance Overview and Financial Indicators

Over the last year, Piramal Pharma's stock has recorded a return of -32.64%, contrasting with the Sensex's positive return of 3.81% during the same period. The stock has also underperformed the BSE500 index over the past three years, one year, and three months, reflecting a prolonged period of relative weakness.

The 52-week high for the stock was Rs.273.20, highlighting the extent of the decline to the current low of Rs.169.15. This represents a significant contraction in market valuation over the year.

Financially, the company’s ability to manage its debt is a concern, with a Debt to EBITDA ratio of 3.83 times. This level indicates a relatively high leverage position compared to earnings before interest, taxes, depreciation, and amortisation.

Net sales have shown a compound annual growth rate of 9.15% over the past five years, suggesting moderate expansion in revenue. However, recent quarterly results indicate a contraction, with net sales for the quarter ending September 2025 at Rs.2,043.72 crore, down 10.5% compared to the previous four-quarter average.

Profitability metrics also reflect challenges. The company reported a Profit Before Tax (PBT) excluding other income of Rs.-111.78 crore for the recent quarter, a decline of 340.0% relative to the prior four-quarter average. Similarly, Profit After Tax (PAT) stood at Rs.-99.22 crore, down 613.2% compared to the same benchmark.

Return on Equity (ROE) averaged 0.32%, indicating limited profitability generated per unit of shareholders’ funds. Return on Capital Employed (ROCE) was recorded at 2.7%, which, while modest, suggests some efficiency in capital utilisation.

Valuation and Peer Comparison

The stock’s enterprise value to capital employed ratio stands at 2.2, which is considered fair in valuation terms. Piramal Pharma is trading at a discount relative to the average historical valuations of its peers in the Pharmaceuticals & Biotechnology sector.

Despite the recent downturn, operating profit has grown at an annual rate of 23.29% over the long term, indicating some underlying strength in core business operations.

Institutional investors hold 45.17% of the company’s shares, reflecting a significant stake by entities with extensive resources to analyse company fundamentals.

Summary of Key Concerns and Market Position

The recent decline to the 52-week low price of Rs.169.15 underscores the challenges faced by Piramal Pharma in maintaining market confidence. The stock’s position below all major moving averages signals continued pressure on price momentum.

Financial indicators point to a high leverage ratio and subdued profitability, with quarterly results showing negative earnings and a contraction in sales. These factors contribute to the stock’s relative underperformance compared to the broader market and sector peers.

Nonetheless, the company’s operating profit growth and fair valuation metrics provide context to its current standing within the Pharmaceuticals & Biotechnology sector. Institutional holdings remain substantial, indicating ongoing interest from significant market participants.

Market Outlook and Broader Context

While the Sensex remains near its 52-week high and supported by bullish moving averages, Piramal Pharma’s stock continues to trade in a weaker trend. The divergence between the stock’s performance and the benchmark index highlights sector-specific or company-specific factors influencing investor sentiment.

Investors and market watchers will likely continue to monitor the company’s financial results and market developments closely as the stock navigates this low price territory.

Only ₹14,999 - Get MojoOne + Stock of the Week for 2 Years PLUS 6 Months FREE Claim 83% OFF →