NSE: SHILPAMED CMP: Rs 573.60 P/E: 48.09x ROCE: 11.03% 6M Ret: +78.61% ATH: Rs 599.00 MCap: Rs 11219.56 Cr
Key Performance Indicators
Shilpa Medicare trades at Rs 573.60 on NSE (ticker: SHILPAMED), with a market capitalisation of Rs 11219.56 crore. The price-to-earnings ratio is 48.09x. Return on capital employed stands at 11.03%. The six-month price return is +78.61%. Quarterly net profit stands at Rs 107.79 crore, a year-on-year change of 147.82%. Quarterly sales are Rs 436.99 crore (+32.09% year-on-year). The dividend yield is 0.09%. The all-time high is Rs 599.00, above the current price by 4.4%.
Highlights
Shilpa Medicare has delivered a six-month return of 78.61%, positioning it among the notable performers over the measured period in the healthcare sector. The all-time high of Rs 599.00 stands 4.4% above the current price of Rs 573.60, indicating the stock has corrected from its peak and sits below its historical ceiling. The market capitalisation of Rs 11219.56 crore at the current price classifies this as a large-cap entity.
At a P/E of 48.09x, the stock trades at a moderate premium to the Indian market average, suggesting visible but not exceptional growth expectations. The ROCE of 11.03% — crossing the double-digit threshold that typically signals competitive business returns — provides a capital efficiency perspective that complements the P/E valuation framework.
Business Overview
Shilpa Medicare is a specialty pharmaceutical company with a strong focus on oncology APIs and formulations — a highly specialised and high-value segment of the pharmaceutical market. The company manufactures anti-cancer active pharmaceutical ingredients and finished oncology dosage forms for export to regulated markets including the US, Europe, and Japan. Oncology pharmaceuticals command significantly higher margins than general generic drugs, and the regulatory barriers to entry are correspondingly higher, creating a defensible competitive position for established oncology API producers.
The quarterly profit of Rs 107.79 crore growing 147.82% on revenue of Rs 436.99 crore growing 32.09% is one of the strongest absolute profit performances in this dataset. The P/E of 48.09 times and dividend yield of 0.09% are characteristic of a growing specialty pharma company. The ROCE of 11.03% confirms double-digit capital returns. At Rs 11,219.56 crore market cap, Shilpa Medicare has mid-cap institutional coverage. The six-month return of 78.61% and the all-time high of Rs 599.00 — Rs 25.40 above the current price of Rs 573.60 — indicate moderate headroom to the historical peak.
Financial Analysis
Shilpa Medicare's financial profile for the most recently reported quarter shows quarterly revenue of Rs 436.99 crore (+32.09% year-on-year) and quarterly net profit of Rs 107.79 crore (147.82% variation year-on-year). The positive quarterly profitability — even at modest absolute levels — provides a foundational earnings base from which P/E-based valuation can be meaningfully applied.
The ROCE of 11.03% is above the 10% threshold widely used as an indicator of competitive business returns — businesses that sustain ROCE above their cost of capital create economic value for shareholders over time. The dividend yield of 0.09% provides a modest income component — a positive signal about the company's cash generation capability and management's willingness to return capital to shareholders.
At Rs 11219.56 crore market capitalisation, Shilpa Medicare has institutional research coverage and high-quality daily liquidity. Investors should access the company's quarterly results on BSE and any investor presentations for a comprehensive fundamental assessment.
Investor Highlights
The investment case for Shilpa Medicare is anchored in the healthcare sector's structural growth dynamics in India — expanding health insurance coverage, rising disease awareness, and government healthcare investment — combined with the company-specific momentum reflected in the 78.61% six-month return.
With the current price 4.4% below the all-time high of Rs 599.00, the stock presents a different risk-reward profile than entry at the peak. The key analytical question is whether the correction from the high represents a value opportunity — supported by maintained or improving fundamental performance — or an ongoing normalisation from a prior speculative overshoot.
The positive quarterly profitability provides a verifiable earnings anchor that supports P/E-based valuation and dividend capacity assessment — distinguishing Shilpa Medicare from the pre-revenue or loss-making entities in this collection where valuation is entirely expectation-dependent. Investors should track quarterly earnings trend data through BSE filings to assess whether the profit trajectory is improving, stable, or deteriorating relative to the current market capitalisation.
Frequently Asked Questions
Q: What does Shilpa Medicare do and what sector does it operate in?
A: Shilpa Medicare operates in India's healthcare sector, listed on NSE under ticker SHILPAMED. The company's specific products, services, and revenue model are documented in its annual report and exchange filings available through the BSE portal at bseindia.com. Investors should read these documents to form an accurate business understanding before drawing investment conclusions from price performance.
Q: What explains the six-month return of 78.61% for Shilpa Medicare?
A: The 78.61% six-month return reflects a combination of positive sector-level sentiment in the healthcare space, company-specific operational improvements visible in the financial data, and market re-rating of the company's growth potential. The positive quarterly profit of Rs 107.79 crore and revenue growth provide fundamental support for the appreciation. Specific fundamental triggers — contract wins, capacity additions, or strategic announcements — should be verified through BSE exchange disclosures.
Q: How should investors interpret the ROCE of 11.03% for Shilpa Medicare?
A: Return on capital employed of 11.03% measures the pre-tax profit generated per rupee of total capital deployed in the business. At 11.03%, the company generates returns above the typical cost of capital for Indian businesses — a positive signal that indicates the business creates rather than destroys economic value on the capital it employs.
Q: What is Shilpa Medicare's current P/E and all-time high?
A: Shilpa Medicare trades at a price-to-earnings multiple of 48.09x at the current price of Rs 573.60. The all-time high price is Rs 599.00, which is 4.4% above the current price — indicating the stock has corrected from its historical peak.
Q: Where can investors find Shilpa Medicare's official financial data?
A: Shilpa Medicare's quarterly results, annual reports, shareholding patterns, and all material corporate disclosures are filed with the BSE and are freely available through the BSE corporate filing portal at bseindia.com. SEBI's listing regulations mandate disclosure of all financial results, board decisions, and significant corporate events within prescribed timelines. These filings are the authoritative source of verified financial and operational data for investment analysis.