Poly Medicure Ltd.
NSE: POLYMEDPoly Medicure Ltd.: A 30-second snapshot
Poly Medicure (POLYMED) is a Pharma-sector medical device company trading at ₹1,498.9, down 38.07% over 12 months and 40.65% below its 52-week high. The stock carries a trailing PE of 43.75, a debt-to-equity ratio of 8.17 with a rising debt trend, and has not generated positive free cash flow in any tracked year. Revenue has grown at a 16.4% 5-year CAGR while earnings have contracted at -17.6% over the same window.
P/E
43.8
Forward P/E
37.8
ROE
—
Debt / Equity
8.17
Profit Margin
+19.5%
Div. Yield
+0.2%
5Y ROE > 15%
1/5
5Y FCF > 0
0/5
Quality
43/100
News
3 headlines · 3 positive · 0 negative
Poly Medicure Board Meeting Scheduled on May 25, 2026 to Approve FY26 Audited Results and Consider Final Dividend - scanx.trade
scanx.trade
Poly Medicure Says Unit Buys 100% Equity In Medyneo - TradingView
TradingView
Poly Medicure Buys Brazilian Company for Medical Device Licenses - Whalesbook
Whalesbook
Recent context
- ·The board has scheduled a meeting on May 25, 2026 to approve FY26 audited results and consider a final dividend — the outcome of this meeting will provide the first formal look at full-year FY26 earnings and capital return decisions.
- ·Poly Medicure acquired a 100% equity stake in Medyneo and separately acquired a Brazilian company for medical device licenses in late April 2026, indicating an accelerating inorganic growth strategy that adds geographic and product scope but also increases integration and execution requirements.
- ·With analyst rating data unavailable (6 analysts tracked, no mean rating reported), and only 3 news articles in the sentiment window, the information environment for this stock is thinner than typical NSE-listed peers.
Strengths
- +Revenue growth of 16.4% 5-year CAGR indicates the business has expanded its top line consistently, suggesting demand for its medical device products.
- +Profit margin of 19.5% remains positive in absolute terms, and the forward PE of 37.79 is below the trailing PE of 43.75, implying earnings-per-share improvement is expected in the near term on an analyst consensus basis.
- +The 3-month price recovery of +8.02% has lifted the stock above its 50-DMA (₹1,417.81), and recent news includes two international acquisitions — a 100% equity stake in Medyneo and a Brazilian medical device license company — pointing to active expansion of the product and geographic footprint.
- +PE of 43.75 is modestly above the sector peer median (Sunpharma at 41.32) but below higher-multiple peers such as Max Healthcare (72.44) and Apollo Hospitals (64.50), placing POLYMED in the mid-range of sector valuation.
Weaknesses
- −Zero FCF-positive years across available history combined with a rising debt-to-equity of 8.17 — well above pharma peers Cipla (not disclosed) and Dr. Reddys — raises questions about the sustainability of the debt load if earnings do not recover.
- −5-year earnings CAGR of -17.6% against revenue CAGR of +16.4% is a persistent divergence over five years, not a single-year anomaly; this implies cost growth, margin compression, or capital allocation factors have systematically outpaced revenue gains.
- −Quality score of 33 ranks 4th of 6 peers in the Pharma sector; ROE data is unavailable and only 1 tracked year recorded ROE above 15%, with a consistency score of 42 — both below the sector leaders (Max Healthcare 54, Sunpharma 50).
- −Stock is 40.65% below its 52-week high and has spent an extended period below the 200-DMA (₹1,719.45), with the current price of ₹1,498.9 still 12.8% below that moving average despite the recent 3-month recovery.
Open questions
- ?Can the company demonstrate a path to positive free cash flow generation given zero FCF-positive years and a rising debt-to-equity of 8.17 — and what conditions (revenue scale, margin recovery, capex moderation) would need to hold for that to occur?
- ?Does the 16.4% revenue CAGR reflect durable demand for its medical device product lines, or does it include inorganic contributions that may not repeat — and how much of the -17.6% earnings CAGR is attributable to acquisition-related costs, amortisation, or integration expenses?
- ?The FY26 results due May 25 will show whether the earnings trajectory has stabilised or continued to deteriorate against the revenue growth line — what level of margin recovery would be needed to justify the current PE of 43.75?
- ?How does the international acquisition strategy (Medyneo + Brazil) affect the existing debt load, and what is the expected timeline for these acquisitions to contribute meaningfully to earnings rather than adding to leverage?
Peer comparison: Pharma
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| POLYMED | Poly Medicure Ltd.You're viewing | 43.8 | — | 33 |
| Industry avg | across 5 peers | 46.9 | +11.8% | 37 |
| MAXHEALTH | Max Healthcare Institute Ltd. | 72.4 | — | 54 |
| SUNPHARMA | Sun Pharmaceutical Industries Ltd. | 41.3 | — | 50 |
| APOLLOHOSP | Apollo Hospitals Enterprise Ltd. | 64.5 | — | 42 |
| CIPLA | Cipla Ltd. | 29.8 | +11.7% | 24 |
| DRREDDY | Dr. Reddy's Laboratories Ltd. | 26.7 | +11.8% | 17 |
Technical state
Current price
₹1,498.90
SMA 50
₹1,417.81
SMA 200
₹1,719.45
RSI (14)
47.5 (neutral)
From 52w high
-40.6%
1Y return
-38.1%
3M return
+8.0%
50-DMA
Above
200-DMA
Below
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity of 8.17 is high for a pharma/medtech company and the debt trend is classified as rising; FCF positive years = 0 across available history, meaning the company has not generated free cash flow in any tracked year — the combination of rising leverage and zero FCF history raises refinancing and liquidity questions.
- high5-year earnings CAGR of -17.6% against 5-year revenue CAGR of +16.4%: top-line has grown but earnings have contracted sharply over the same period, suggesting sustained margin erosion or escalating cost structures; profit margin currently stands at 19.5% but the earnings trajectory has been persistently negative.
- mediumPrice is down 38.07% over 12 months and sits 40.65% below the 52-week high; stock remains below the 200-DMA (₹1,719.45) despite a 3-month recovery of +8.02%; RSI at 47.47 is neutral, offering no directional confirmation of the near-term bounce.
- mediumQuality score of 33 ranks 4th of 6 Pharma peers; ROE data unavailable; only 1 of tracked years showed ROE above 15%; consistency score of 42 reflects weak earnings quality relative to the sector peer group.
- lowNews coverage is sparse at 3 articles total; while all three carry positive sentiment, the small sample limits confidence in the sentiment reading as a reliable signal.
Cross-section contradictions
- 5-year revenue CAGR of +16.4% and 5-year earnings CAGR of -17.6% run in opposite directions over the same period, indicating that revenue growth has not translated into earnings growth — a structural divergence rather than a one-period anomaly.
- All 3 recent news items carry positive sentiment (board meeting to consider FY26 dividend, two overseas acquisitions) yet the stock is down 38.07% over 12 months and 40.65% off its 52-week high, suggesting the market has been pricing in concerns not reflected in the headline news flow.
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 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 17 May 2026 · rotates through NIFTY 500 every ~5 days