Alkem Laboratories Ltd.
NSE: ALKEMAlkem Laboratories Ltd.: A 30-second snapshot
Alkem Laboratories trades at ₹5,816.50, up 17.18% over the past year and 7.65% over 3 months, sitting within 1.18% of its 52-week high and above both its 50-day (₹5,484.08) and 200-day (₹5,521.06) moving averages. Trailing PE of 29.87x compares to sector peers Cipla (35.37x), Sun Pharma (41.62x) and Apollo Hospitals (66.44x), with ROE of 17.56% and a profit margin of 15.65%. Debt-to-equity is low at roughly 0.14x, though the 5-year earnings growth of -22.7% runs well behind 5-year revenue growth of +14.6%.
P/E
29.9
Forward P/E
25.4
ROE
+17.6%
Debt / Equity
14.27
Profit Margin
+15.7%
Div. Yield
+0.3%
5Y ROE > 15%
3/5
5Y FCF > 0
4/5
Quality
61/100
News
8 headlines · 1 positive · 2 negative
AbbVie Seeks Block On Alkem Generic Constipation Drug - Law360
Law360
Alkem Laboratories completes acquisition of 51-55% stake in Occlutech Holding AG - scanx.trade
scanx.trade
Pharma stocks: Sun Pharma, Biocon, Dr Reddy's, Torrent Pharma slip on Trump's generic drug tariff plan - Business Today
Business Today
Trade Spotlight: How should you trade Alkem Labs, Blue Jet Healthcare, CreditAccess Grameen, Minda... - Moneycontrol.com
Moneycontrol.com
Alkem Laboratories Ltd gains for third straight session - Business Standard
Business Standard
Recent context
- ·AbbVie sought to block an Alkem generic constipation drug via litigation, per a Law360 report dated 2026-07-27.
- ·Alkem completed acquisition of a 51-55% stake in Occlutech Holding AG, reported by scanx.trade on 2026-07-17.
- ·Business Standard reported the stock gaining for a third straight session as of 2026-07-30, against a mixed news backdrop of 1 positive, 5 neutral and 2 negative items out of 8 tracked (one additional headline concerning sector-wide tariff impact on other pharma names appears to be a keyword collision rather than Alkem-specific news).
Strengths
- +Trading above both the 50-DMA (5,484.08) and 200-DMA (5,521.06), up 17.18% over 1 year and 7.65% over 3 months, within 1.18% of the 52-week high.
- +Debt-to-equity of approximately 0.14x is low in absolute terms, and free cash flow was positive in 4 of the last 5 tracked years.
- +Trailing PE of 29.87x and forward PE of 25.43x sit below several sector peers including Cipla (35.37x), Sun Pharma (41.62x) and Apollo Hospitals (66.44x); ranks 2nd of 6 peers on PE, ROE and quality score.
- +Completed acquisition of a 51-55% stake in Occlutech Holding AG (reported 2026-07-17), expanding the business beyond the core generics portfolio.
Weaknesses
- −Five-year earnings growth of -22.7% diverges from five-year revenue growth of +14.6%, a gap that points to margin or cost pressure over the period.
- −AbbVie has sought to block an Alkem generic constipation drug through litigation (reported 2026-07-27); the financial materiality of the underlying product line is not disclosed in available coverage.
- −Persistence tracking flags the debt trend as 'rising' even though the current absolute debt-to-equity level (~0.14x) is low, and ROE exceeded 15% in only 3 of the tracked years.
- −Quality score of 45/100 and a mean analyst rating of 2.45 across 20 analysts (1-5 scale, lower = more constructive) place Alkem in the middle of its tracked range rather than at either extreme.
Open questions
- ?Does the -22.7% five-year earnings growth reflect a normalized rebound from a prior weak year, or an ongoing trend, given current ROE of 17.56% and profit margin of 15.65%?
- ?How material is the disputed generic constipation-drug product line to Alkem's overall revenue, and what is the likely timeline for resolving the AbbVie litigation?
- ?Does the 'rising' debt trend flagged in persistence tracking relate to funding the Occlutech acquisition, and how might that affect the currently low ~0.14x debt-to-equity ratio going forward?
- ?With company-specific news coverage relatively thin over the recent period, what would quarterly filings or investor-call commentary add that headline-level coverage does not capture?
Peer comparison: Pharma
Ranks 2 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| ALKEM | Alkem Laboratories Ltd.You're viewing | 29.9 | +17.6% | 45 |
| Industry avg | across 5 peers | 49.4 | +14.8% | 34 |
| SUNPHARMA | Sun Pharmaceutical Industries Ltd. | 41.6 | +14.7% | 56 |
| APOLLOHOSP | Apollo Hospitals Enterprise Ltd. | 66.4 | +21.5% | 44 |
| MAXHEALTH | Max Healthcare Institute Ltd. | 74.6 | +14.3% | 37 |
| CIPLA | Cipla Ltd. | 35.4 | — | 28 |
| DRREDDY | Dr. Reddy's Laboratories Ltd. | 28.9 | +8.8% | 4 |
Technical state
Current price
₹5,816.50
SMA 50
₹5,484.08
SMA 200
₹5,521.06
RSI (14)
65.7 (neutral)
From 52w high
-1.2%
1Y return
+17.2%
3M return
+7.7%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Risk flags
- mediumFive-year earnings growth of -22.7% diverges sharply from five-year revenue growth of +14.6%, signalling margin or cost-base pressure over the period even though current profit margin (15.65%) and ROE (17.56%) remain intact.
- mediumAbbVie has sought to block an Alkem generic constipation drug via litigation (reported 2026-07-27), a product-specific legal action whose financial exposure and timeline are not disclosed in available coverage.
- lowPersistence tracking flags the debt trend as 'rising', even though the current debt-to-equity ratio is low at roughly 0.14x (raw Yahoo metric of 14.267 is percent-scaled, not an x-multiple).
- lowNews coverage is thin and mixed in relevance: of 8 tracked items, one visible headline (on sector-wide tariff impact naming Sun Pharma, Biocon, Dr Reddy's and Torrent Pharma but not Alkem) appears to be a keyword collision rather than Alkem-specific coverage, leaving roughly 4 clearly company-specific items to inform the sentiment read.
Cross-section contradictions
- Price is up 17.18% over 1 year and sits within 1.18% of its 52-week high, trading above both the 50-DMA (5,484.08) and 200-DMA (5,521.06), while 5-year earnings growth of -22.7% runs well below 5-year revenue growth of +14.6% over the same multi-year window — price strength does not visibly track the longer-run earnings trend.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 12 Aug 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 1 Aug 2026 · rotates through NIFTY 500 every ~5 days