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NOVARTIS INDIA LTD. (NOVARTIND) Fair Value & Analysis

Healthcare · IN · Market cap ₹36.3B

NI NOVARTIS INDIA LTD. NOVARTIND · BSE
Price₹1,532
Fair Value₹370.12
Upside-75.8%
Quality72/100
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Weak Growth
Highly profitable · 26.3% net margin
generates free cash flow
Mixed vs. peers (8/14)
Wide moat 67/100
Evidence: High Range ₹291.50 – ₹546.53 Share as image

Fair value as of: Aug 13, 2026

From 24 valuation models · updated 6 days ago

A solid business, but screening 76% overvalued on our models.

What matters now

  • A high-quality business (quality 72/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • The price sits above even our optimistic bull case (₹546.53). The favourable scenario is already priced in.
  • A fairly wide model range (₹291.50 to ₹546.53) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹1,606 ₹480.28 Fair Value ₹370.12 Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹480.28 – ₹1,606 · fair‑value band ₹291.50 – ₹546.53 · the ₹1,532 price screens above the ₹370.12 fair value. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

NOVARTIS INDIA LTD. (NOVARTIND) currently trades at ₹1,532, while our model-based Fair Value estimate is ₹370.12, implying the stock looks roughly 75.8% overvalued today. The Quality Score stands at 72/100 (solid quality), in the Healthcare sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, NOVARTIS INDIA LTD. generated revenue of ₹3.5B at a net margin of 26.3%. Revenue grew 8.0% year over year. It earns a return on equity of 11.6%. The stock trades on a trailing P/E of 40.6. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹291.50 (bear case) to ₹546.53 (bull case); at ₹1,532, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 4% below its 52-week high and 104% above its 52-week low, currently above its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -49% fair-value upside, at -76%, NOVARTIND screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income ₹303.47 ₹346.97 ₹559.97 76
Growth DCF ₹212.34 ₹281.92 ₹400.94 72
Gordon GGM ₹229.56 ₹251.26 ₹284.34 70
All 24 models by family
DCF Models
FCF DCF ₹203.84 ₹275.53 ₹408.30 38
Owner Earnings ₹394.33 ₹540.81 ₹812.11 31
5Y Revenue Exit ₹261.45 ₹390.52 ₹578.48 39
5Y EBITDA Exit ₹301.81 ₹460.40 ₹670.46 41
5Y P/E Exit ₹419.16 ₹663.57 ₹954.51 38
10Y Revenue Exit ₹229.45 ₹323.70 ₹426.51 36
10Y EBITDA Exit ₹261.88 ₹366.91 ₹480.51 37
10Y P/E Exit ₹333.11 ₹492.55 ₹647.27 35
Earnings-Based
Graham-Dodd ₹256.62 ₹313.65 ₹352.86 54
EPV ₹340.71 ₹393.95 ₹440.54 59
Dividend Discount
Gordon GGM ₹229.56 ₹251.26 ₹284.34 70
DDM Multi-Stage ₹229.56 ₹288.02 ₹369.95 61
Multiples
P/E Multiple ₹622.69 ₹830.25 ₹1,038 63
P/S Multiple ₹376.71 ₹502.27 ₹627.84 58
P/B Multiple ₹481.17 ₹641.56 ₹801.95 55
EV/EBIT ₹496.44 ₹654.84 ₹813.23 53
EV/EBITDA ₹420.88 ₹554.08 ₹687.29 54
EV/Revenue ₹322.63 ₹451.78 ₹580.94 43
Asset-Based
NCAV (Graham) ₹165.61 ₹221.92 ₹331.23 50
Growth DCF
Growth DCF ₹212.34 ₹281.92 ₹400.94 72
Rev-Margin DCF ₹261.45 ₹394.80 ₹556.37 67
Economic Profit
Residual Income ₹303.47 ₹346.97 ₹559.97 76
ROIC Compounder ₹340.71 ₹401.98 ₹469.92 67
Growth Earnings
Growth-Adj P/E ₹438.95 ₹627.07 ₹815.19 68

Widest divergence: Growth Earnings (₹627.07) versus Asset-Based (₹221.92). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹3.5B
Revenue growth (YoY) +8.0%
Net margin 26.3%
Return on equity 11.6%
Free cash flow ₹464M FY2026
P/E ratio 40.6
More key figures
Operating margin 22.3%
EPS (TTM) ₹37.76
EPS growth (YoY) -13.8%

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 72/100

Of which business quality 68 · Market factors (momentum, volatility) 86

Profitability 52
Margins and returns on capital today
Quality Growth 51
Are margins and returns improving?
Cashflow 53
Earnings quality: real cash, not paper profit
Fin. Strength 84
Balance sheet, leverage, solvency risk
Investment 97
Disciplined investing over empire-building
Low Volatility 74
Calm price path (market factor)
Momentum 91
Price trend over the last 3–12 months (market factor)
52W Momentum 92
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Novartis India Limited operates as a healthcare company in India. The company offers therapeutic products in the areas of bone and pain products under the Voveran brand; transplantation immunology products under the Simulect, Certican, Sandimmun, Neoral, and Myfortic brands. It also offers neurosciences products under the Tegrital and Exelon brands.

Full company description

Novartis India Limited operates as a healthcare company in India. The company offers therapeutic products in the areas of bone and pain products under the Voveran brand; transplantation immunology products under the Simulect, Certican, Sandimmun, Neoral, and Myfortic brands. It also offers neurosciences products under the Tegrital and Exelon brands. Novartis India Limited was incorporated in 1947 and is based in Mumbai, India. The company is a subsidiary of Novartis AG.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

NOVARTIS INDIA LTD. reported revenue of ₹3.5B in FY2026 versus ₹3.9B in FY2022, a compound −2.2%/yr. Reported net income was ₹932M in FY2026.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2026)
₹3.5B
Latest YoY
−0.5%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−2.2%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−0.6%
Avg. growth/yr (7Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−3.4%
Revenue −2.2%/yr
FY22 ₹3.9B
FY23 ₹3.8B
FY24 ₹3.3B
FY25 ₹3.6B
FY26 ₹3.5B
Net income
FY22 −₹37.2M
FY23 ₹1.0B
FY24 ₹852M
FY25 ₹1.0B
FY26 ₹932M

NOVARTIND screens 76% overvalued. Compare with Jiangsu Hengrui Pharmaceuticals Co →

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Cite: Fair Value Calculator (2026). "NOVARTIS INDIA LTD. Fair Value". https://www.fairvalue-calculator.com/stock/NOVARTIND

Peer Group

Drug Manufacturers - Specialty & Generic · 633 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 72 · Top 25%
Fair Value upside −76% · Bottom 25%
Return on equity (TTM) 12% · Above median
Return on assets 6% · Above median
Net margin (TTM) 26% · Top 25%
Operating margin (TTM) 22% · Top 25%
Revenue growth 8% · Above median
Dividend yield (TTM) 1.7% · Above median

Valuation Multiples vs Drug Manufacturers - Specialty & Generic median · lower = cheaper

P/E (TTM) 40.6× · Pricier than median
P/B 4.44× · Pricier than 75% of peers
P/S (TTM) 10.24× · Pricier than 75% of peers
P/FCF 0.8× · Cheaper than median
EV/EBITDA 38.0× · Pricier than 75% of peers
PEG 1.88× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 4
FUTURE40 · sector 20
PAST47 · sector 23
HEALTH0 · sector 96
DIVIDEND34 · sector 29

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Drug Manufacturers - Specialty & Generic stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Jiangsu Hengrui Pharmaceuticals Co 600276 ¥53.76 ¥25.94 -52%
Sun Pharmaceutical Industries Limited SUNPHARMA ₹1,944 ₹989.50 -49%
Divi's Laboratories Limited DIVISLAB ₹8,525 ₹1,228 -86%
Torrent Pharmaceuticals Limited TORNTPHARM ₹4,915 ₹1,163 -76%
PharmaEssentia Corporation 6446 1,440 TWD 233.93 TWD -84%
Cipla Limited CIPLA ₹1,463 ₹1,001 -32%
Zydus Lifesciences Limited ZYDUSLIFE ₹1,167 ₹703.32 -40%
Lupin Limited LUPIN ₹2,281 ₹2,477 +9%
Mankind Pharma Limited MANKIND ₹2,433 ₹983.11 -60%
Dr. Reddy's Laboratories Limited DRREDDY ₹1,200 ₹874.79 -27%

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Frequently asked questions

Is NOVARTIS INDIA LTD. (NOVARTIND) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹370.12 versus a price of ₹1,532, about −76% (overvalued).
What is the fair value of NOVARTIND?
Our model-based fair value for NOVARTIS INDIA LTD. is ₹370.12 (as of Aug 13, 2026), built from audited fundamentals. The current price: ₹1,532.
What is the quality score of NOVARTIND?
NOVARTIS INDIA LTD. has a Quality Score of 72/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of NOVARTIS INDIA LTD. (NOVARTIND)?
NOVARTIS INDIA LTD. reported trailing-twelve-month revenue of about ₹3.5B (latest available figure, as of Aug 13, 2026).
What is the net profit margin of NOVARTIND?
The net profit margin of NOVARTIS INDIA LTD. is about 26.3%, meaning it keeps roughly 26.3% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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