Alkem Lab

Why is Alkem Laboratories Ltd falling/rising?

As of 19-Jun, Alkem Laboratories Ltd's stock price is 5,374.75, down 0.06%. The stock has underperformed the sector and shows a poor long-term growth outlook, impacted by declining investor participation and recent negative financial results.

As of 19-Jun, Alkem Laboratories Ltd's stock price is currently at 5,374.75, reflecting a slight decline of 3.25 points or 0.06%. The stock has underperformed compared to the sector today by 0.8%. While the stock has shown a positive return of 12.68% over the past year, it has experienced a decline of 1.69% over the past month, contrasting with a 2.13% increase in the benchmark index, Sensex, during the same period.<BR><BR>The stock's performance is further impacted by a significant drop in investor participation, with delivery volume falling by 47.32% against the 5-day average. Although the stock is trading at a fair value compared to its peers, the long-term growth outlook appears poor, as evidenced by an operating profit growth rate of only 9.33% over the last five years. Additionally, recent negative results, including a low operating profit to interest ratio and high non-operating income as a percentage of profit before tax, contribute to the stock's downward pressure.<BR><BR>Despite high management efficiency and strong institutional holdings, these negative factors, combined with the stock's recent underperformance relative to the sector and declining investor interest, explain the current fall in Alkem Laboratories Ltd's stock price.

Which are the latest news on Alkem Lab?

How big is Alkem Lab?

As of 10th June, Alkem Laboratories Ltd has a market capitalization of 64,315.00 Cr, with recent net sales of 14,712.27 Cr and a net profit of 2,301.80 Cr.

As of 10th June, Alkem Laboratories Ltd has a market capitalization of 64,315.00 Cr, categorizing it as a Mid Cap company.<BR><BR>In the latest four quarters, Alkem Laboratories Ltd reported Net Sales of 14,712.27 Cr and a Net Profit of 2,301.80 Cr.<BR><BR>The latest annual period for the balance sheet is March 2025, with Shareholder's Funds amounting to 11,984.87 Cr and Total Assets valued at 15,952.85 Cr.

Who are in the management team of Alkem Lab?

The management team of Alkem Laboratories includes Executive Chairman Basudeo N Singh, Managing Director Sandeep Singh, and several Executive Directors, along with Non-Executive and Independent Directors such as A K Purwar and Sudha Ravi. They are responsible for the company's strategic direction and operations.

The management team of Alkem Laboratories includes the following key members:<BR><BR>1. **Basudeo N Singh** - Executive Chairman<BR>2. **Sandeep Singh** - Managing Director<BR>3. **Mritunjay Kumar Singh** - Executive Director<BR>4. **Sarvesh Singh** - Executive Director<BR>5. **Madhurima Singh** - Executive Director<BR>6. **Srinivas Singh** - Executive Director<BR>7. **A K Purwar** - Non-Executive & Independent Director<BR>8. **Sangeeta Kapiljit Singh** - Non-Executive & Independent Director<BR>9. **Sudha Ravi** - Non-Executive & Independent Director<BR>10. **Dheeraj Sharma** - Non-Executive & Independent Director<BR>11. **Narendra Aneja** - Non-Executive & Independent Director<BR>12. **Sujjain Talwar** - Independent Director<BR>13. **Manish Narang** - Company Secretary & Compliance Officer<BR><BR>This team is responsible for guiding the strategic direction and operations of the company.

Who are the peers of the Alkem Lab?

Alkem Lab's peers include Lupin, Mankind Pharma, Aurobindo Pharma, and Biocon, among others. In terms of management risk, growth, and capital structure, Mankind Pharma and Abbott India show excellent metrics, while Alkem Lab has a good capital structure but below-average growth.

Peers: The peers of Alkem Lab are Lupin, Mankind Pharma, Aurobindo Pharma, Laurus Labs, Biocon, Glenmark Pharma, Abbott India, Anthem Bioscienc, Ipca Labs, and Gland Pharma.<BR><BR>Quality Snapshot: Excellent management risk is observed at Mankind Pharma, Abbott India, Anthem Bioscienc, and the rest. Good management risk is found at Lupin, Laurus Labs, Glenmark Pharma, Ipca Labs, and the rest. Average management risk is noted at Aurobindo Pharma and Biocon. For growth, excellent growth is seen at Lupin, Mankind Pharma, and Anthem Bioscienc, while below average growth is present at Aurobindo Pharma, Biocon, Alkem Lab, Laurus Labs, and the rest. Capital structure is excellent for Mankind Pharma, Abbott India, Ipca Labs, and Gland Pharma, while good capital structure is noted at Lupin, Glenmark Pharma, and Alkem Lab, and average capital structure is found at Laurus Labs.<BR><BR>Return Snapshot: Laurus Labs has the highest 1-year return at 106.68%, while Abbott India has the lowest at -16.68%. Alkem Lab's 1-year return of 8.40% is better than Abbott India's but lower than Laurus Labs'. Additionally, Alkem Lab, Abbott India, and Aurobindo Pharma have negative six-month returns.

What does Alkem Lab do?

Alkem Laboratories Ltd is a prominent Indian pharmaceutical company founded in 1973, specializing in the development, manufacture, and sale of pharmaceutical and nutraceutical products. As of March 2026, it reported net sales of ₹3,603 Cr and a net profit of ₹236 Cr, with a market cap of ₹64,315 Cr.

Overview:<BR>Alkem Laboratories Ltd is a leading Indian pharmaceutical company engaged in the development, manufacture, and sale of pharmaceutical and nutraceutical products, operating within the Pharmaceuticals & Biotechnology industry and categorized as a Mid Cap.<BR><BR>History:<BR>Alkem Laboratories Ltd was incorporated in 1973 and has since established itself as a significant player in the pharmaceutical sector. The latest quarterly results reported are for March 2026, showcasing the company's ongoing operations.<BR><BR>Financial Snapshot:<BR>- Net Sales: 3,603 Cr (Quarterly Results - Mar 2026)<BR>- Net Profit: 236 Cr (Quarterly Results - Mar 2026)<BR>- Market Cap: INR 64,315 Cr (Mid Cap)<BR><BR>Key Metrics:<BR>- P/E: 26.00<BR>- Industry P/E: 34<BR>- Dividend Yield: 0.96%<BR>- Debt Equity: -0.03<BR>- Return on Equity: 17.48%<BR>- Price to Book: 4.61<BR><BR>Contact Details:<BR>Address: Alkem House Senapati Bapat Marg, Lower Parel Mumbai Maharashtra : 400013<BR>Tel: 91-22-39829999<BR>Email: investors@alkem.com<BR>Website: http://www.alkemlabs.com

Should I buy, sell or hold Alkem Laboratories Ltd?

Are Alkem Laboratories Ltd latest results good or bad?

Alkem Laboratories Ltd's latest Q4 FY26 results are concerning, showing a 14.62% revenue growth but a significant 62.82% decline in net profit quarter-on-quarter, indicating operational challenges and margin compression. Overall, the results are considered bad, highlighting the need for improved cost management and efficiency.

Alkem Laboratories Ltd's latest results for Q4 FY26 indicate a challenging financial situation. While the company achieved a year-on-year revenue growth of 14.62%, reaching net sales of ₹3,603.32 crores, its consolidated net profit saw a significant decline of 62.82% quarter-on-quarter and 22.69% year-on-year, dropping to ₹236.46 crores. <BR><BR>This sharp profit decline is concerning, especially given the revenue growth, suggesting issues with cost management and operational efficiency. The operating margin, which fell to 14.36% from 22.16% in the previous quarter, reflects severe margin compression. Additionally, the profit after tax (PAT) margin decreased dramatically to 6.98%, raising questions about the sustainability of the company's profitability.<BR><BR>Overall, the results can be characterized as bad, highlighting operational distress and significant challenges that need to be addressed for future stability and growth.

When is the next results date for Alkem Laboratories Ltd?

The next results date for Alkem Laboratories Ltd is 28 May 2026.

The next results date for Alkem Laboratories Ltd is scheduled for 28 May 2026.

Is Alkem Lab technically bullish or bearish?

As of December 1, 2025, Alkem Lab's technical trend is mildly bullish, supported by bullish weekly MACD and Bollinger Bands, despite mixed signals from monthly indicators.

As of 1 December 2025, the technical trend for Alkem Lab has changed from bullish to mildly bullish. The weekly MACD remains bullish, while the monthly MACD is mildly bearish, indicating mixed signals across time frames. The Bollinger Bands are mildly bullish on both weekly and monthly charts, supporting a positive outlook. Daily moving averages are bullish, reinforcing the mildly bullish stance. However, the KST shows a bullish weekly trend but is mildly bearish monthly, and Dow Theory indicates a mildly bearish weekly trend with no clear monthly trend. Overall, the current technical stance is mildly bullish, driven primarily by the weekly MACD and Bollinger Bands, despite some bearish signals in the monthly indicators.

How has been the historical performance of Alkem Lab?

Alkem Lab has shown consistent growth in net sales and profits, with net sales increasing from 8,344.36 Cr in March 2020 to 12,964.52 Cr in March 2025, and profit after tax rising from 1,149.31 Cr to 2,216.00 Cr during the same period, indicating strong financial performance.

Answer:<BR>The historical performance of Alkem Lab shows a consistent growth trend in net sales and profits over the years, culminating in significant figures for the fiscal year ending March 2025.<BR><BR>Breakdown:<BR>Alkem Lab's net sales increased from 8,344.36 Cr in March 2020 to 12,964.52 Cr in March 2025, reflecting a steady upward trajectory. The total operating income followed a similar pattern, rising from 8,344.36 Cr in March 2020 to 12,964.52 Cr in March 2025. The company's operating profit (PBDIT) also saw growth, reaching 3,005.89 Cr in March 2025, up from 1,577.61 Cr in March 2020. Profit before tax increased from 1,259.79 Cr in March 2020 to 2,527.03 Cr in March 2025, while profit after tax rose from 1,149.31 Cr to 2,216.00 Cr over the same period. The earnings per share (EPS) improved significantly from 94.28 in March 2020 to 181.14 in March 2025. On the balance sheet, total assets grew from 9,012.97 Cr in March 2020 to 15,952.85 Cr in March 2025, and total liabilities increased from 9,012.97 Cr to 15,952.85 Cr during the same timeframe. Cash flow from operating activities also showed an upward trend, reaching 1,912.00 Cr in March 2025, although the net cash outflow was recorded at -186.00 Cr. Overall, Alkem Lab has demonstrated robust growth in sales, profits, and assets over the years, indicating a strong financial performance.

Is Alkem Lab overvalued or undervalued?

As of November 13, 2025, Alkem Lab is fairly valued with a PE ratio of 30.06 and solid financial metrics, despite recent stock performance lagging behind the Sensex.

As of 13 November 2025, the valuation grade for Alkem Lab has moved from expensive to fair. The company is currently fairly valued, with a PE ratio of 30.06, a Price to Book Value of 5.70, and an EV to EBITDA ratio of 25.45. In comparison to its peers, Sun Pharma has a higher PE ratio of 36.15 and an EV to EBITDA of 23.85, while Cipla is more attractively valued with a PE of 22.65 and an EV to EBITDA of 16.03.<BR><BR>Alkem Lab's financial metrics indicate a solid performance, with a ROCE of 19.77% and a ROE of 18.07%. Despite recent stock performance lagging behind the Sensex over one year (2.53% vs. 8.74%), the company's strong ratios suggest it is positioned well within the pharmaceuticals sector. Overall, Alkem Lab appears to be fairly valued in the current market context.

Who are the top shareholders of the Alkem Lab?

The top shareholders of Alkem Lab include promoters, with Sarandhar Singh holding 19.42%, mutual funds at 14.97%, foreign institutional investors at 9.41%, and individual investors with a combined 15.77%. The largest public shareholder is the ICICI Prudential Multi-Asset Fund, holding 4.11%.

The top shareholders of Alkem Lab include a mix of promoters, mutual funds, and foreign institutional investors (FIIs). The majority shareholders are the promoters, with Sarandhar Singh holding the highest individual stake at 19.42%. Mutual funds collectively hold 14.97% of the shares through 27 different schemes, while FIIs account for 9.41% with 473 different investors. The highest public shareholder is the ICICI Prudential Multi-Asset Fund, which holds 4.11%. Additionally, individual investors have a combined holding of 15.77%.

Has Alkem Lab declared dividend?

Yes, Alkem Laboratories Ltd has declared a dividend of 1850% (₹37 per share), with an ex-date of February 14, 2025. The company has shown varying total returns over different periods, with a notable 110.91% total return over the last 5 years.

Alkem Laboratories Ltd has declared a dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 1850%<BR>- Amount per share: 37<BR>- Ex-date: 14 Feb 25<BR><BR>Dividend Yield: 0.87%.<BR><BR>Total Returns by Period:<BR>Over the last 6 months, the price return was -11.76%, the dividend return was 0.67%, resulting in a total return of -11.09%.<BR><BR>In the 1-year period, the price return was 1.02%, the dividend return was 0.83%, leading to a total return of 1.85%.<BR><BR>For the 2-year period, the price return was 43.8%, the dividend return was 2.56%, which resulted in a total return of 46.36%.<BR><BR>During the 3-year period, the price return was 56.49%, the dividend return was 3.90%, culminating in a total return of 60.39%.<BR><BR>In the 4-year period, the price return was 53.99%, the dividend return was 4.83%, yielding a total return of 58.82%.<BR><BR>Over the last 5 years, the price return was 103.29%, the dividend return was 7.62%, resulting in a total return of 110.91%.<BR><BR>Overall, Alkem Laboratories Ltd has declared a significant dividend, which reflects positively on the company's commitment to returning value to shareholders. The total returns over various periods show a mix of performance, with particularly strong returns over the longer term.