Sai Life (SAILIFE)

FairStock Score: 38/100 — MIXED

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

Key Financials

AI Analysis

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

Fellow investor, Sai Life shows the profile of a growing pharma business, but Mr. Market is asking a very rich price. Revenue has compounded at 18.48% over five years, profit growth is 22.22%, and the latest quarter delivered ₹556 Cr sales and ₹100 Cr net profit. That is respectable. The balance sheet is conservative with debt/equity of only 0.12 and Altman Z-score of 6.03, while Piotroski F-score of 8/9 suggests improving fundamentals. But returns are only moderate: ROE 15.64% and ROCE 14.05%. I don't see a wide moat here—not enough to justify P/B of 12.34 or P/E of 85.49. The Graham Number is ₹104.40 versus a price of ₹1,449.90, a margin of safety of -856.16%; that means I'd be paying nearly 14 times the Graham Number. Even with strong growth, PEG of 3.33 and EV/EBITDA of 12.95 aren't bargains. More troubling, free cash flow is negative ₹222 Cr, and there is no dividend. Promoter holding is 34.70%, so I'd want to understand skin in the game. The FairStock score of 38/100 (MIXED) matches my view: good growth and low leverage, but cash generation and valuation fail my tests. This may be a fast grower, but not at this price. I would wait for a much larger margin of safety or evidence that free cash flow turns positive before considering it.

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