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Natco Pharma Ltd
NSE:NATCOPHARM

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Natco Pharma Ltd
NSE:NATCOPHARM
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Price: 1 096.3 INR 0.59%
Market Cap: ₹196.4B

P/B

2.3
Current
10%
Cheaper
vs 3-y average of 2.5

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
2.3
=
Market Cap
₹175.6B
/
Total Equity
₹86.5B

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
2.3
=
Market Cap
₹175.6B
/
Total Equity
₹86.5B

Valuation Scenarios

Natco Pharma Ltd is trading below its 3-year average

If P/B returns to its 3-Year Average (2.5), the stock would be worth ₹1 211.72 (11% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+57%
Average Upside
35%
Scenario P/B Value Implied Price Upside/Downside
Current Multiple 2.3 ₹1 096.3
0%
3-Year Average 2.5 ₹1 211.72
+11%
5-Year Average 3 ₹1 438.95
+31%
Industry Average 3.6 ₹1 717.71
+57%
Country Average 3.3 ₹1 569.59
+43%

Forward P/B
Today’s price vs future total equity

Not enough data available to calculate forward P/B

Peer Comparison

All Multiples
P/B
P/E
All Countries
Close
Market Cap P/B P/E
IN
Natco Pharma Ltd
NSE:NATCOPHARM
195.2B INR 2.3 12.6
US
Eli Lilly and Co
NYSE:LLY
820.3B USD 30.9 39.7
US
Johnson & Johnson
NYSE:JNJ
542.6B USD 6.7 25.8
CH
Roche Holding AG
SIX:ROG
248.4B CHF 7.7 20.1
UK
AstraZeneca PLC
LSE:AZN
216.7B GBP 5.8 27.7
CH
Novartis AG
SIX:NOVN
218.2B CHF 5.8 19
US
Merck & Co Inc
NYSE:MRK
272.8B USD 5.2 14.9
IE
Endo International PLC
LSE:0Y5F
244.4B USD -58.7 -83.6
DK
Novo Nordisk A/S
CSE:NOVO B
1.2T DKK 6 11.4
US
Pfizer Inc
NYSE:PFE
152.3B USD 1.8 19.6
US
Bristol-Myers Squibb Co
NYSE:BMY
116.3B USD 6.3 16.5
P/E Multiple
Earnings Growth PEG
IN
Natco Pharma Ltd
NSE:NATCOPHARM
Average P/E: 20.7
12.6
-23%
N/A
US
Eli Lilly and Co
NYSE:LLY
39.7
32%
1.2
US
Johnson & Johnson
NYSE:JNJ
25.8
8%
3.2
CH
Roche Holding AG
SIX:ROG
20.1
14%
1.4
UK
AstraZeneca PLC
LSE:AZN
27.7
25%
1.1
CH
Novartis AG
SIX:NOVN
19
14%
1.4
US
Merck & Co Inc
NYSE:MRK
14.9
14%
1.1
IE
E
Endo International PLC
LSE:0Y5F
Negative Multiple: -83.6 N/A N/A
DK
Novo Nordisk A/S
CSE:NOVO B
11.4
0%
N/A
US
Pfizer Inc
NYSE:PFE
19.6
22%
0.9
US
Bristol-Myers Squibb Co
NYSE:BMY
16.5
16%
1

Market Distribution

In line with most companies in India
Percentile
34rd
Based on 2 820 companies
34rd percentile
2.3
Low
0 — 2.1
Typical Range
2.1 — 5.5
High
5.5 —
Distribution Statistics
India
Min 0
30th Percentile 2.1
Median 3.3
70th Percentile 5.5
Max 4 699.1

Natco Pharma Ltd
Glance View

Nestled in the bustling business corridors of Hyderabad, India, Natco Pharma Ltd. has cultivated a strong presence in the pharmaceutical industry over the decades. Founded in 1981, the company initially ventured into the local market, gradually establishing itself as a critical player through specialization in complex chemistry and niche therapeutic sectors. The company's primary focus is on the development and manufacturing of generic drugs, specifically in the oncology and neurology segments. In these high-stakes areas, Natco leverages its robust research and development capabilities to produce affordable alternatives to expensive branded medications, thereby ensuring access to critical treatments for broader populations. Natco Pharma's business acumen extends beyond merely producing generics. It is adept at capitalizing on patent expirations, quickly launching generics and biosimilars in both domestic and international markets. The company has strategically focused operations in markets such as the United States and Europe, where it partners with local distributors to reach end-users. Through a combination of manufacturing efficiencies and strategic partnerships, Natco is able to maintain competitive pricing, thus enhancing its market penetration and revenue generation. Its integrated business model, combining in-house R&D, manufacturing, and distribution, ensures that Natco remains a formidable player, bridging the gap between complex pharmaceuticals and cost-effective healthcare solutions.

NATCOPHARM Intrinsic Value
717.16 INR
Overvaluation 35%
Intrinsic Value
Price ₹1 096.3
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