Wockhardt Ltd.
NSE: WOCKPHARMAWockhardt Ltd.: A 30-second snapshot
Wockhardt (Rs 1,545.90) has delivered 21% price appreciation over 12 months and trades above its 50-DMA (Rs 1,359) and 200-DMA (Rs 1,405), with RSI at 58. The business reported PAT of Rs 1.66 billion in Q4 FY26 and a clean audit, but profit margin remains at 0.69% and debt-to-equity stands at 50.37, among the highest in the pharma peer group. Revenue has grown at a 23.2% 5-year CAGR, though capital efficiency metrics — FCF positive in 2 of available years, zero years with ROE above 15% — have not yet matched the price re-rating.
P/E
117.5
Forward P/E
—
ROE
—
Debt / Equity
50.37
Profit Margin
+0.7%
Div. Yield
—
5Y ROE > 15%
0/5
5Y FCF > 0
2/5
Quality
40/100
News
5 headlines · 3 positive · 0 negative
Wockhardt March-quarter consol net PAT 1.66 billion rupees - marketscreener.com
marketscreener.com
Wockhardt Clears FY26 Results With Clean Audit, Plans Flexible Fund-Raising - TipRanks
TipRanks
Wockhardt Swings to Profit as FY26 Revenue and EBITDA Surge - TipRanks
TipRanks
Wock Pharma Stock News Today ⚫ Wock Pharma Stock Latest News ⚫ Stock Market (JXBTT6t3Ui) - Fathom Journal
Fathom Journal
Wockhardt Publishes SEBI-Mandated Notice on Physical Share Transfer Window - TipRanks
TipRanks
Recent context
- ·Wockhardt reported Q4 FY26 consolidated PAT of Rs 1.66 billion; the full-year results included a clean audit, with management citing plans for flexible fund-raising, as reported by TipRanks on 4 May 2026.
- ·FY26 revenue and EBITDA surged per recent coverage, marking the company's swing back to profitability after years of losses; the 5-year earnings CAGR of 296.7% reflects this recovery from a distressed base.
- ·A SEBI-mandated notice on the physical share transfer window was published in April 2026 — a routine compliance disclosure with no adverse event attached.
Strengths
- +Revenue has compounded at 23.2% annually over 5 years, and reported earnings grew 296.7% over the same period, reflecting a swing from deep losses to reported profitability by FY26.
- +The stock is trading above both the 50-DMA (Rs 1,359) and 200-DMA (Rs 1,405), with a 52-week drawdown of -17.3%, and price is 13.7% above the 50-DMA, indicating the recent trend has maintained distance from key averages.
- +FY26 results were accompanied by a clean audit opinion, and management cited plans for flexible fund-raising — both disclosed in May 2026 news flow.
- +News sentiment across 5 recent articles is net positive (3 positive, 2 neutral, 0 negative), with coverage concentrated on FY26 results and a revenue and EBITDA surge.
Weaknesses
- −D/E ratio of 50.37 is substantially above pharma sector norms; peers Cipla (lower leverage) and Dr. Reddy's carry far less debt, and this level amplifies balance-sheet risk if operating cash flows do not expand.
- −Profit margin of 0.69% and a PE of 117.5 create a high-multiple, low-margin combination; even a modest earnings miss or macro headwind could compress the valuation multiple significantly.
- −FCF was positive in only 2 of the tracked years and ROE exceeded 15% in zero years; consistency score of 23 is the lowest single indicator of durable capital returns in this data set.
- −WOCKPHARMA ranks 6th of 6 peers on PE and 4th of 6 on quality score (40 vs sector leader MAXHEALTH at 54), sitting at the bottom of the pharma peer set on both valuation richness and composite quality.
Open questions
- ?Does the 296.7% earnings CAGR reflect a genuine structural turnaround in the business model, or does it primarily represent normalisation from a distressed base with margins still near breakeven?
- ?At a D/E of 50.37 and a profit margin of 0.69%, how sensitive is the balance sheet to a moderate increase in interest rates or a revenue growth slowdown — and what is the refinancing timeline for the existing debt?
- ?How does Wockhardt's pipeline (including its novel antibiotic programme) compare to peers in terms of potential revenue contribution, and at what regulatory stage are the key assets?
- ?The stock trades at a 62-91% PE premium over peers such as Sun Pharma (41x) and Cipla (30x) — what earnings trajectory does that imply, and how does it compare to any available forward estimates?
Peer comparison: Pharma
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| WOCKPHARMA | Wockhardt Ltd.You're viewing | 117.5 | — | 40 |
| 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
₹1,545.90
SMA 50
₹1,359.01
SMA 200
₹1,404.86
RSI (14)
58.1 (neutral)
From 52w high
-17.3%
1Y return
+21.1%
3M return
+10.3%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity ratio of 50.37 is far above typical pharma sector levels; at this leverage, any sustained pressure on operating cash flows would stress the balance sheet materially.
- highNet profit margin of 0.69% is near breakeven; the business retains less than one rupee from every hundred rupees of revenue. PE of 117.5 on this margin implies the market is pricing in a sharp earnings recovery.
- highFCF was positive in only 2 of the available tracked years, ROE exceeded 15% in zero of those years, and the consistency score is 23 — the business has not demonstrated sustained capital efficiency in the tracked period.
- mediumWOCKPHARMA ranks 6th of 6 peers on PE (117.5 vs next-highest MAXHEALTH at 72.4) and 4th of 6 on quality score (40), placing it at the bottom of the peer set on valuation and below median on composite quality.
- lowNews coverage is sparse (5 articles total). Analyst rating and count are absent. Sentiment and consensus signals are limited to a small sample.
Cross-section contradictions
- Stock is up 21% over 12 months and trades above both the 50-DMA (Rs 1,359) and 200-DMA (Rs 1,405), yet the business carries a D/E of 50.37, a profit margin of 0.69%, and a consistency score of 23 — price momentum is diverging materially from reported earnings quality.
- 5-year earnings growth of 296.7% is optically high but originates from a distressed near-zero base; the resulting profit margin remains 0.69%, indicating that revenue growth has not yet translated into durable bottom-line expansion.
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