Torrent Pharmaceuticals Ltd.
NSE: TORNTPHARMTorrent Pharmaceuticals Ltd.: A 30-second snapshot
Torrent Pharmaceuticals trades at ₹4,872.10, up 35.67% over the past year and currently above both its 50-day (₹4,663.97) and 200-day (₹4,154.10) moving averages, sitting 4.2% below its 52-week high. Q1 FY27 revenue rose 55% YoY to ₹4,921 crore following completion of the amalgamation with J.B. Chemicals, though the stock's trailing PE of 82.15x is the highest among six reported pharma peers and 5-year earnings growth (-8.2%) has lagged 5-year revenue growth (+54.8%).
P/E
82.1
Forward P/E
53.7
ROE
—
Debt / Equity
85.45
Profit Margin
+13.9%
Div. Yield
+0.8%
5Y ROE > 15%
4/5
5Y FCF > 0
4/5
Quality
63/100
News
7 headlines · 5 positive · 0 negative
TORNTPHARM: Q1 FY27 revenue rose 55% YoY to Rs. 4,921 crores, with EBITDA up 61% and net profit at Rs. 566 crores - TradingView
TradingView
Torrent Pharma Q1 Results: Revenue surges 54.8% YoY to Rs 4,921 crore, net profit up 3.3% - Business Upturn
Business Upturn
Torrent Pharma Allots 4.19 Crore Shares After JB Chemicals Merger - HDFC Sky
HDFC Sky
Torrent Pharmaceuticals completes amalgamation with J.B. Chemicals - Business Upturn
Business Upturn
Earnings To Watch: Torrent Pharmaceuticals Ltd (NSE:TORNTPHARM) Q1 2027 -- GF Value Sees 14% Upside - GuruFocus
GuruFocus
Recent context
- ·Torrent Pharmaceuticals completed its amalgamation with J.B. Chemicals & Pharmaceuticals effective July 8, 2026, followed by the allotment of 4.19 crore shares to eligible JB Chemicals shareholders on July 21, 2026 (Business Upturn, HDFC Sky).
- ·Q1 FY27 results, reported July 30, 2026, showed revenue up 55% YoY to ₹4,921 crore and EBITDA up 61%, while net profit rose 3.3% YoY to ₹566 crore — a narrower increase than the revenue and EBITDA gains.
- ·Of the 7 headlines tracked in the sample window, 5 were classified positive and 0 negative; one appears to reference an unrelated Coal India story rather than Torrent Pharma and is excluded from that read.
Strengths
- +Price sits above both the 50-DMA and 200-DMA, with a 35.67% gain over the trailing 12 months and a 14.19% gain over the trailing 3 months.
- +ROE exceeded 15% in 4 of the past 5 tracked years and free cash flow was positive in 4 of the past 5 tracked years, with an overall consistency score of 77.
- +Q1 FY27 revenue rose 55% YoY to ₹4,921 crore and EBITDA rose 61%, alongside completion of the amalgamation with J.B. Chemicals and the July 21, 2026 allotment of 4.19 crore shares.
- +Mean analyst rating of 1.72 across 29 analysts (1–5 scale, lower = more constructive); 5 of the 7 tracked headlines in the sample window were classified positive with none negative.
Weaknesses
- −Debt-to-equity of 0.85x is elevated for the pharma sector and the persistence data flags the debt trend as rising.
- −5-year earnings growth of -8.2% trails 5-year revenue growth of +54.8%; current profit margin is 13.87%.
- −Trailing PE of 82.15x is the highest of six reported sector peers (ranked 6 of 6 on valuation), while the quality score of 30 ranks only 4th of 6 among the same peer set.
- −The news sample is small (7 headlines) and appears to include an unrelated Coal India story, which limits confidence in the raw sentiment tally for the window.
Open questions
- ?How much of the current quarterly revenue base reflects the J.B. Chemicals consolidation versus organic growth in Torrent's pre-existing business?
- ?What is driving the divergence between 5-year revenue growth (+54.8%) and 5-year earnings growth (-8.2%) — margin compression, financing costs tied to rising debt, or one-off items?
- ?How does post-merger leverage compare with Torrent Pharma's historical debt-to-equity levels, and what integration costs remain to be absorbed?
- ?Given a trailing PE of 82.15x above all six reported peers while the quality score ranks only 4th of 6, what specific growth or margin assumptions would be needed to sustain that premium?
Peer comparison: Pharma
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| TORNTPHARM | Torrent Pharmaceuticals Ltd.You're viewing | 82.1 | — | 30 |
| 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
₹4,872.10
SMA 50
₹4,663.97
SMA 200
₹4,154.10
RSI (14)
52.1 (neutral)
From 52w high
-4.2%
1Y return
+35.7%
3M return
+14.2%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- mediumDebt-to-equity is 0.85x (Yahoo percentage-scaled value of 85.446 divided by 100) and the persistence data marks the debt trend as rising. This level is elevated for a pharmaceutical company, where net leverage is typically modest, and the upward trend adds to balance-sheet monitoring relevance.
- medium5-year earnings growth of -8.2% has not kept pace with 5-year revenue growth of +54.8%. Revenue has expanded substantially while trailing profit growth over the same window is negative, and current profit margin stands at 13.87%.
- mediumTrailing PE of 82.15x is the highest among the six reported pharma peers (Cipla 35.37x, Dr. Reddy's 28.90x, Sun Pharma 41.62x, Apollo Hospitals 66.44x, Max Healthcare 74.58x), ranking last (6 of 6) on the valuation ranking. The quality score of 30 ranks only 4th of 6 over the same peer set, below the peer median.
- lowThe tracked news sample is small (7 headlines) and appears to include at least one headline referencing an unrelated Coal India story rather than Torrent Pharma, reducing confidence in the raw positive/neutral/negative sentiment tally derived from this window.
Cross-section contradictions
- Torrent Pharma trades 35.67% higher over the trailing 12 months, sits above both its 50-DMA (₹4,663.97) and 200-DMA (₹4,154.10), and shows 5 of 7 tracked headlines classified positive with none negative, yet 5-year earnings growth is -8.2% even as 5-year revenue grew 54.8% over the same multi-year window — recent price performance and the multi-year profit-growth trend point in different directions.
- Mean analyst rating of 1.72 across 29 analysts (1–5 scale, lower = more constructive) sits closer to the low end of that scale, yet the trailing PE of 82.15x is the most expensive among all six reported sector peers and the quality score of 30 ranks only 4th of 6 — the analyst-coverage read and the peer-relative valuation/quality profile diverge.
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 11 Aug 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 31 Jul 2026 · rotates through NIFTY 500 every ~5 days
