Cipla Limited (CIPLA.NS) stock analysis

In our weekly check, Cipla Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 20 pass, warnings: 2, red flags: 3.

About Cipla Limited

Cipla Limited is a Healthcare company (Drug Manufacturers - Specialty & Generic) based in India, listed on NSE as CIPLA.NS.

What our checks show for CIPLA.NS

Red flags

• Operating profit does not cover the interest bill (0.9x): interest is paid from cash or new debt.
• The gross margin fell by 17.2 points, to 42.7%: costs are rising faster than prices.
• The dividend takes 3165% of profit: little cushion if profit falls.

Warning signs

• The stock has fallen as much as 49% from a peak. Would you have held through that?
• Return on capital (ROCE) is only 9.7%.

Strengths

• Debt is low: 0.02x equity.
• The net margin rose by 2.2 points over 5 years, to 13.8%.
• Analysts expect earnings per share to grow about 13.2% a year over the next years.
• Earnings per share grew 11.4% a year over the last 3 years.
• Net profit grew 11.5% a year over the last 3 years.
• A large company: market value $11.72 billion.

Next earnings report: 2027-01-22

Similar companies

DRREDDY.NS · MANKIND.NS · ZYDUSLIFE.NS · AUROPHARMA.NS · LAURUSLABS.NS · LUPIN.NS

Questions

What grade does Cipla Limited (CIPLA.NS) have?

In our weekly check, Cipla Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 20 pass, warnings: 2, red flags: 3. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of CIPLA.NS stock?

This week's biggest flags for Cipla Limited: Weak interest cover, Gross margin falling, Dividend stretched. In total 5 of 25 checks show a warning or a red flag.

What does Cipla Limited do?

Cipla Limited is a Healthcare company (Drug Manufacturers - Specialty & Generic) based in India, listed on NSE as CIPLA.NS.

When does Cipla Limited report earnings next?

The next earnings report is expected on 2027-01-22. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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