Aurobindo Pharma (AUROPHARMA)

FairStock Score: 69/100 — STEADY

Score breakdown: P/E: 1/3 · ROCE: 1/2 · Growth: 1/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Aurobindo Pharma as a Graham-style bargainer and Buffett-style business buyer. At ₹1,622.10 and ₹93,332 Cr market cap, it is a large, steady pharmaceutical business, but the price asks for patience. The latest quarter shows Sales ₹8,646 Cr and Net Profit ₹910 Cr. Profit growth of 31.85% against sales growth of 3.73% is impressive, but I want durable, not one-quarter. The five-year revenue CAGR of 6.32% tells me this is no fast grower; it is a stalwart unless growth changes the slope. The balance sheet is a genuine comfort: Debt/Equity 0.21, Free Cash Flow ₹2,059 Cr, Piotroski F-Score 8/9, promoter holding 51.82%, and EV/EBITDA 8.60. ROCE 14.18% and ROE 10.68% are respectable but not fortress-like. The moat is not obvious from these figures; the business depends on execution, and Altman Z-Score 2.63 is in the gray zone, so I would watch working capital and debt. Valuation is the rub. P/E 25.32 and P/B 2.49 look full for 6.32% revenue CAGR. Graham Number ₹868.65 and DCF intrinsic value ₹808.21 are far below ₹1,622.10, giving a negative margin of safety of -40.49%. PEG 37.63 confirms growth is not compensating. Dividend yield 0.24% adds little. FairStock score 69/100 STEADY fits: decent business, but not a bargain. I would wait for a wider discount or evidence that profit growth and FCF are sustainable.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer