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Natco Pharma Ltd
NSE:NATCOPHARM

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Natco Pharma Ltd
NSE:NATCOPHARM
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Price: 1 091.95 INR 1.91% Market Closed
Market Cap: ₹195.6B

EV/EBITDA

8.5
Current
9%
Cheaper
vs 3-y average of 9.3

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
8.5
=
Enterprise Value
₹137.4B
/
EBITDA
₹18.6B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
8.5
=
Enterprise Value
₹137.4B
/
EBITDA
₹18.6B

Valuation Scenarios

Natco Pharma Ltd is trading below its 3-year average

If EV/EBITDA returns to its 3-Year Average (9.3), the stock would be worth ₹1 204.17 (10% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+150%
Average Upside
75%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 8.5 ₹1 091.95
0%
3-Year Average 9.3 ₹1 204.17
+10%
5-Year Average 11 ₹1 417.42
+30%
Industry Average 21.2 ₹2 727.56
+150%
Country Average 17.7 ₹2 276.28
+108%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
₹137.4B
/
Jan 2026
₹18.6B
=
8.5
Current
₹137.4B
/
Mar 2026
₹15B
=
9.2
Forward
₹137.4B
/
Mar 2027
₹7.5B
=
18.4
Forward
₹137.4B
/
Mar 2028
₹8.9B
=
15.4
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close
Market Cap EV/EBITDA P/E
IN
Natco Pharma Ltd
NSE:NATCOPHARM
191.9B INR 8.5 12.6
US
Eli Lilly and Co
NYSE:LLY
835.2B USD 27.4 40.5
US
Johnson & Johnson
NYSE:JNJ
547.8B USD 16.7 26
CH
Roche Holding AG
SIX:ROG
248.4B CHF 11.9 20.1
UK
AstraZeneca PLC
LSE:AZN
216.4B GBP 15.6 28
CH
Novartis AG
SIX:NOVN
223.1B CHF 12.1 19.5
US
Merck & Co Inc
NYSE:MRK
276.9B USD 9.5 15.2
IE
Endo International PLC
LSE:0Y5F
244.4B USD 386.8 -83.6
DK
Novo Nordisk A/S
CSE:NOVO B
1.1T DKK 8.4 11.4
US
Pfizer Inc
NYSE:PFE
153.5B USD 7.6 19.8
US
Bristol-Myers Squibb Co
NYSE:BMY
118.2B USD 7.2 16.8
EV/EBITDA Multiple
EBITDA Growth EV/EBITDA to Growth
IN
Natco Pharma Ltd
NSE:NATCOPHARM
Average EV/EBITDA: 46.5
8.5
-27%
N/A
US
Eli Lilly and Co
NYSE:LLY
27.4
21%
1.3
US
Johnson & Johnson
NYSE:JNJ
16.7
8%
2.1
CH
Roche Holding AG
SIX:ROG
11.9
6%
2
UK
AstraZeneca PLC
LSE:AZN
15.6
12%
1.3
CH
Novartis AG
SIX:NOVN
12.1
5%
2.4
US
Merck & Co Inc
NYSE:MRK
9.5
4%
2.4
IE
E
Endo International PLC
LSE:0Y5F
386.8
N/A N/A
DK
Novo Nordisk A/S
CSE:NOVO B
8.4
2%
4.2
US
Pfizer Inc
NYSE:PFE
7.6
-8%
N/A
US
Bristol-Myers Squibb Co
NYSE:BMY
7.2
-9%
N/A
P/E Multiple
Earnings Growth PEG
IN
Natco Pharma Ltd
NSE:NATCOPHARM
Average P/E: 21
12.6
-23%
N/A
US
Eli Lilly and Co
NYSE:LLY
40.5
32%
1.3
US
Johnson & Johnson
NYSE:JNJ
26
8%
3.3
CH
Roche Holding AG
SIX:ROG
20.1
14%
1.4
UK
AstraZeneca PLC
LSE:AZN
28
25%
1.1
CH
Novartis AG
SIX:NOVN
19.5
14%
1.4
US
Merck & Co Inc
NYSE:MRK
15.2
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
19.8
22%
0.9
US
Bristol-Myers Squibb Co
NYSE:BMY
16.8
16%
1

Market Distribution

Lower than 84% of companies in India
Percentile
16th
Based on 2 785 companies
16th percentile
8.5
Low
0.4 — 11.9
Typical Range
11.9 — 27.8
High
27.8 —
Distribution Statistics
India
Min 0.4
30th Percentile 11.9
Median 17.7
70th Percentile 27.8
Max 47 834.4

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 34%
Intrinsic Value
Price ₹1 091.95
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