Solara Active

Why is Solara Active Pharma Sciences Ltd falling/rising?

As of 09-Aug, Solara Active Pharma Sciences Ltd's stock price is Rs 502.15, down 1.66%, and has significantly underperformed the market with a -16.06% return over the past year. Factors contributing to this decline include a consistent downward trend, waning investor confidence, and long-term fundamental challenges.

As of 09-Aug, Solara Active Pharma Sciences Ltd is experiencing a decline in its stock price, currently at Rs 502.15, reflecting a change of -8.5 (-1.66%). The stock has been underperforming significantly compared to the broader market, as evidenced by its negative returns over various periods. For instance, in the last week, the stock has decreased by -2.08%, while the Sensex has gained +0.52%. Over the past month, the stock has fallen by -10.35%, contrasting with a modest increase of +0.41% in the Sensex.<BR><BR>The stock has also shown a consistent downward trend, having lost -3.44% over the last three days. Today's trading saw the stock reach an intraday low of Rs 497.75, indicating a decline of -2.53%. Additionally, the stock is trading below its moving averages across multiple time frames, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, which typically signals bearish sentiment.<BR><BR>Investor participation appears to be waning, with a notable drop in delivery volume, which fell by -26.89% compared to the 5-day average. This decline in trading activity suggests a lack of confidence among investors. Furthermore, the company has been facing long-term fundamental challenges, including a -20.70% compound annual growth rate in operating profits over the last five years and a high debt-to-EBITDA ratio of 3.68 times, which indicates difficulties in servicing debt.<BR><BR>While the company reported a growth in net profit of 69.9% and positive results in recent quarters, these factors have not been sufficient to offset the overall negative sentiment surrounding the stock. The stock has underperformed the market significantly, generating a return of -16.06% over the past year, while the broader market has seen positive returns. The increasing proportion of pledged promoter shares, now at 37.11%, adds further downward pressure in a declining market. All these factors contribute to the current decline in Solara Active Pharma Sciences Ltd's stock price.

Which are the latest news on Solara Active?

Should I buy, sell or hold Solara Active Pharma Sciences Ltd?

Are Solara Active Pharma Sciences Ltd latest results good or bad?

Solara Active Pharma Sciences Ltd's latest Q1 FY27 results show a net profit of ₹16.31 crores, a 69.90% increase from the previous quarter, and a 19.57% year-on-year revenue growth, indicating a positive turnaround. However, concerns about long-term growth potential and high valuation persist, given past losses and stock underperformance.

Solara Active Pharma Sciences Ltd's latest results for Q1 FY27 show a mixed but generally positive performance. The company reported a net profit of ₹16.31 crores, which is a significant increase of 69.90% compared to the previous quarter. This marks a notable turnaround from the losses experienced in earlier quarters. Additionally, the revenue grew by 19.57% year-on-year, indicating strong underlying demand, although there was a slight sequential decline of 1.47% from the previous quarter.<BR><BR>Operating margins also improved, rising to 16.24%, up 135 basis points from the previous quarter, which reflects better cost management. However, despite these positive indicators, the company has faced challenges in the past, including a substantial loss of ₹566 crores in FY24, and its stock has underperformed compared to the broader Pharmaceuticals & Biotechnology sector.<BR><BR>While the quarterly results suggest a recovery and improved profitability, concerns remain about the company's long-term growth potential and capital efficiency. The elevated P/E ratio of 583 times compared to industry averages raises questions about valuation sustainability. Overall, the results can be seen as a step in the right direction, but the company still faces significant challenges that investors should consider.

When is the next results date for Solara Active Pharma Sciences Ltd?

The next results date for Solara Active Pharma Sciences Ltd is July 23, 2026.

The next results date for Solara Active Pharma Sciences Ltd is scheduled for July 23, 2026.

What does Solara Active do?

Solara Active Pharma Sciences Ltd manufactures and distributes active pharmaceutical ingredients (APIs) in the small-cap pharmaceuticals and biotechnology sector. As of March 2026, it reported net sales of 387 Cr and a net profit of 10 Cr, with a market cap of INR 2,701 Cr.

Overview: <BR>Solara Active Pharma Sciences Ltd is engaged in the manufacturing and distribution of active pharmaceutical ingredients (APIs) within the Pharmaceuticals & Biotechnology industry and operates in the small-cap market segment.<BR><BR>History: <BR>The company was incorporated on February 23, 2017. The latest quarterly results reported net sales and net profit for the period ending March 2026.<BR><BR>Financial Snapshot: <BR>Net Sales: 387 Cr (Quarterly Results - Mar 2026) <BR>Net Profit: 10 Cr (Quarterly Results - Mar 2026) <BR>Market cap: INR 2,701 Cr (Small Cap)<BR><BR>Key Metrics: <BR>P/E: N/A <BR>Industry P/E: 34 <BR>Dividend Yield: 0.00% <BR>Debt Equity: 0.51 <BR>Return on Equity: -0.12% <BR>Price to Book: 2.20<BR><BR>Contact Details: <BR>Address: 201 Devavrata Sector 17 Vashi, Navi Mumbai Mumbai Maharashtra : 400703 <BR>Tel: 91-22-27892924 <BR>Email: investors@solara.co.in <BR>Website: http://www.solara.co.in

How big is Solara Active?

As of 10th June, Solara Active Pharma Sciences Ltd has a market capitalization of 2,701.00 Cr, with net sales of 1,368.98 Cr and a net loss of 7.41 Cr over the latest four quarters. The balance sheet for March 2025 shows shareholder's funds of 1,094.24 Cr and total assets of 2,231.84 Cr.

As of 10th June, Solara Active Pharma Sciences Ltd has a market capitalization of 2,701.00 Cr, categorizing it as a Small Cap company.<BR><BR>In the latest four quarters, the company reported net sales of 1,368.98 Cr. However, it experienced a loss of 7.41 Cr in net profit during the same period.<BR><BR>The latest annual period for the balance sheet is March 2025, showing shareholder's funds of 1,094.24 Cr and total assets amounting to 2,231.84 Cr.

Who are in the management team of Solara Active?

The management team of Solara Active includes Chairman Aditya Puri, Managing Directors Jitesh Devendra and Poorvank Purohit, CFO S Hariharan, and several independent and non-executive directors, bringing diverse expertise to the company's leadership.

The management team of Solara Active includes the following individuals:<BR><BR>1. **Aditya Puri** - Chairman & Non-Executive Director<BR>2. **Nirmal P Bhogilal** - Independent Director<BR>3. **Vineeta Rai** - Independent Director<BR>4. **Rajagopalan Ramakrishnan** - Independent Non-Executive Director<BR>5. **Kausalya Santhanam** - Independent Director<BR>6. **Ankur Nand Thadani** - Non-Executive Director<BR>7. **Arun Kumar** - Non-Executive Director<BR>8. **S Hariharan** - Executive Director & CFO<BR>9. **Jitesh Devendra** - Managing Director & CEO<BR>10. **Poorvank Purohit** - Managing Director & CEO<BR>11. **Rajendra Kumar Srivastava** - Additional Director<BR>12. **Rajiv Vijay Naba** - Additional Director<BR><BR>This diverse team brings a range of expertise to the company’s leadership.

Who are the peers of the Solara Active?

Peers of Solara Active include RPG LifeScience, SMS Pharma, Unichem Labs, Aarti Drugs, Novartis India, Dishman Carbogen, Morepen Labs, Kwality Pharma, and Hikal. Solara Active has below-average management and capital structure risks, with a 1-year return of 17.78%, higher than Dishman Carbogen but lower than SMS Pharma's 48.87%.

Peers: The peers of Solara Active are RPG LifeScience., SMS Pharma., Unichem Labs., Aarti Drugs, Novartis India, Dishman Carbogen, Morepen Labs., Kwality Pharma, and Hikal.<BR><BR>Quality Snapshot: Excellent management risk is observed at RPG LifeScience. and Novartis India, while Average management risk is found at SMS Pharma, Unichem Labs., Aarti Drugs, Morepen Labs., Kwality Pharma, and Hikal, and the rest. Below Average management risk is noted for Solara Active and Dishman Carbogen. In terms of Growth, Good growth is seen at Unichem Labs. and Novartis India, while Below Average growth is present at RPG LifeScience., SMS Pharma., Aarti Drugs, Solara Active, Dishman Carbogen, Morepen Labs., Kwality Pharma, Hikal, and the rest. For Capital Structure, Excellent capital structure is noted at RPG LifeScience. and Novartis India, Good capital structure is found at Unichem Labs. and Aarti Drugs, while Below Average capital structure is observed at Solara Active, Dishman Carbogen, and Hikal, and the rest.<BR><BR>Return Snapshot: The peer with the highest 1-year return is SMS Pharma. at 48.87%, while the peer with the lowest is Dishman Carbogen at -38.27%. Solara Active's 1-year return of 17.78% is significantly higher than Dishman Carbogen's but lower than SMS Pharma's. Additionally, Dishman Carbogen, Morepen Labs., and Hikal have negative six-month returns.

Is Solara Active technically bullish or bearish?

As of December 4, 2025, Solara Active's trend is neutral with mixed signals, showing a mildly bearish stance on weekly and monthly MACD and Bollinger Bands, while daily moving averages and On-Balance Volume suggest slight bullishness.

As of 4 December 2025, the technical trend for Solara Active has changed from mildly bearish to sideways. The current stance is neutral, with mixed signals across various indicators. The weekly MACD remains bearish, while the monthly MACD is mildly bearish. The RSI shows no signal on both weekly and monthly time frames. Bollinger Bands indicate a mildly bearish trend on both weekly and monthly charts. Daily moving averages are mildly bullish, providing some support. The KST is bearish weekly and mildly bearish monthly, while Dow Theory shows a mildly bearish weekly stance with no trend monthly. However, the On-Balance Volume (OBV) is bullish on both weekly and monthly time frames, suggesting some accumulation. Overall, the mixed indicators reflect a neutral stance with a slight inclination towards bullishness on the daily chart, but the prevailing sentiment remains cautious.

How has been the historical performance of Solara Active?

Solara Active's historical performance has shown significant fluctuations, with net sales declining from 1,616.88 Cr in Mar'21 to 1,283.76 Cr in Mar'25, but recent figures indicate a potential recovery in profitability and cash flow, with profit before tax and profit after tax turning positive in Mar'25 after previous losses. Total liabilities decreased, and cash flow from operating activities improved to 212.00 Cr in Mar'25.

Answer:<BR>The historical performance of Solara Active shows significant fluctuations in key financial metrics over the years.<BR><BR>Breakdown:<BR>Solara Active's net sales have seen a decline from 1,616.88 Cr in Mar'21 to 1,283.76 Cr in Mar'25, with a notable drop from 1,443.81 Cr in Mar'23. The total operating income followed a similar trend, decreasing from 1,616.88 Cr in Mar'21 to 1,283.76 Cr in Mar'25. Operating profit (PBDIT) also experienced volatility, peaking at 414.64 Cr in Mar'21 before falling to 214.60 Cr in Mar'25, with a significant loss of -89.81 Cr in Mar'24. Profit before tax turned positive again in Mar'25 at 0.54 Cr after a series of losses, while profit after tax showed a recovery to 0.54 Cr from a substantial loss of -566.96 Cr in Mar'24. The company's total liabilities decreased from 2,820.72 Cr in Mar'23 to 2,231.84 Cr in Mar'25, indicating a reduction in debt levels. Cash flow from operating activities improved to 212.00 Cr in Mar'25 compared to 108.00 Cr in Mar'24, although the net cash outflow was -4.00 Cr in Mar'25. Overall, while Solara Active has faced challenges, recent figures suggest a potential recovery in profitability and cash flow.

Is Solara Active overvalued or undervalued?

As of November 7, 2025, Solara Active is considered overvalued due to its high PE ratio of 318.76, an EV to EBITDA of 38.62, and a PEG ratio of 3.13, all significantly higher than its peers, alongside a disappointing year-to-date return of -16.41%.

As of 7 November 2025, Solara Active's valuation grade has moved from very attractive to attractive, indicating a shift in market perception. The company is currently overvalued, primarily due to its exceptionally high PE ratio of 318.76, which is significantly higher than its peers. In comparison, Sun Pharma has a PE ratio of 35.17, while Cipla boasts a much lower PE of 22.33, highlighting the disparity in valuation.<BR><BR>Additionally, Solara's EV to EBITDA stands at 38.62, again placing it in a less favorable position compared to its peers like Dr. Reddy's Labs, which has an EV to EBITDA of 10.52. The PEG ratio of 3.13 further underscores the overvaluation, especially when compared to Cipla's PEG of 1.25. Recent stock performance has also been underwhelming, with a year-to-date return of -16.41% compared to a 6.50% gain in the Sensex, reinforcing the notion that Solara Active is currently overvalued in the market.

Who are the top shareholders of the Solara Active?

The top shareholders of Solara Active include Devicam Capital LLP with 15.53%, individual investors with 23.07%, and 55 foreign institutional investors holding 14.63%. Notably, Spiracca Ventures LLP holds 7.72%, and 34.64% of promoter holdings are pledged.

The top shareholders of Solara Active include a mix of institutional and individual investors. The largest promoter is Devicam Capital LLP, holding 15.53%. Additionally, there are significant holdings from individual investors, who collectively own 23.07%. The company also has 55 foreign institutional investors (FIIs) with a combined holding of 14.63%. Among public shareholders, Spiracca Ventures LLP stands out with a holding of 7.72%. It's worth noting that a portion of the promoter holdings, specifically 34.6353%, is pledged.

Has Solara Active declared dividend?

Yes, Solara Active Pharma Sciences Ltd has declared a 30% dividend, amounting to ₹3 per share, with an ex-date of August 18, 2021. However, the dividend yield is 0%, and total returns over various periods have shown mixed performance, including significant losses in some cases.

Solara Active Pharma Sciences Ltd has declared a 30% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 30%<BR>- Amount per share: 3 per share<BR>- Ex-date: 18 Aug 21<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the 6-month period, the price return was -39.77%, the dividend return was 0%, resulting in a total return of -39.77%.<BR><BR>For the 1-year period, the price return was 11.99%, the dividend return was 0%, leading to a total return of 11.99%.<BR><BR>Over the 2-year period, the price return was 39.98%, the dividend return was 0%, culminating in a total return of 39.98%.<BR><BR>In the 3-year period, the price return was 25.28%, the dividend return was 0%, which resulted in a total return of 25.28%.<BR><BR>During the 4-year period, the price return was -71.6%, the dividend return was 0.18%, resulting in a total return of -71.42%.<BR><BR>For the 5-year period, the price return was -11.39%, the dividend return was 1.45%, leading to a total return of -9.94%.<BR><BR>Overall, while Solara Active has declared a dividend, the dividend yield remains at 0%, indicating that recent performance has not significantly benefited shareholders in terms of returns. The total returns show a mixed performance over various periods, with some periods reflecting substantial losses.