Cipla (CIPLA.NS)
Healthcare · NSE · India
Fundamentals
Valuation and ratings
Cipla trades at ₹1,429.50, which is 60% above the ₹575.76 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.
Our moat model scores it 67 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 30.0 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Cipla
Cipla Limited, together with its subsidiaries, manufactures, develops, sells, and distributes pharmaceutical products in India, the United States, South Africa, and internationally. It offers generic and branded generic medicines, vaccines, active pharmaceutical ingredients, and formulations for various therapeutic areas, such as MI, angina, heart disease, pulmonary disease, kidney disorders, alzheimer's disease, hypertension, arrhythmia, lipid abnormalities and diabetes, obesity, central nervous system, HIV/AIDS, respiratory, asthma, urology, oncology, cardio-metabolism, child health, infectious diseases and critical care, hepatitis, women's health, ophthalmology, and neuro psychiatry. The company is also involved in the consumer healthcare, biosimilars, and specialty businesses. Cipla Limited was incorporated in 1935 and is based in Mumbai, India.
CIPLA.NS passes 4 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Cipla (CIPLA.NS) undervalued?
Against our discounted cash flow estimate of ₹575.76, CIPLA.NS at ₹1,429.50 is 60% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is CIPLA.NS's P/E ratio?
CIPLA.NS trades at 30.0 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.
