Torrent Pharmaceuticals Limited (TORNTPHARM.BO) stock analysis
In our weekly check, Torrent Pharmaceuticals Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 19 pass, warnings: 2, red flags: 4.
About Torrent Pharmaceuticals Limited
Torrent Pharmaceuticals Limited is a Healthcare company (Drug Manufacturers - Specialty & Generic) based in India, listed on BSE as TORNTPHARM.BO.
What our checks show for TORNTPHARM.BO
Red flags
- Operating profit does not cover the interest bill (0.1x): interest is paid from cash or new debt.
- The gross margin fell by 21 points, to 48.8%: costs are rising faster than prices.
- The dividend takes 5662% of profit: little cushion if profit falls.
- Thinly traded (about 6 thousand shares a day): buying and selling can move the price.
Warning signs
- Net debt is 4.3x a year of EBITDA (debt/equity 0.77). That limits room in a downturn and raises refinancing risk.
- The stock has fallen as much as 55% from a peak. Would you have held through that?
Strengths
- The net margin rose by 6.2 points over 5 years, to 15.5%.
- Operating cash flow is 1.22x net profit: the profit arrives as real cash.
- Analysts expect earnings per share to grow about 22.6% a year over the next years.
- Analysts expect revenue to grow about 21.6% a year over the next years.
- Earnings per share grew 20.2% a year over the last 3 years.
- Net profit grew 20.2% a year over the last 3 years.
Next earnings report: 2027-01-28
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Questions
What grade does Torrent Pharmaceuticals Limited (TORNTPHARM.BO) have?
In our weekly check, Torrent Pharmaceuticals Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 19 pass, warnings: 2, red flags: 4. The grade is a risk check, not a buy or sell recommendation.
What are the main risks of TORNTPHARM.BO stock?
This week's biggest flags for Torrent Pharmaceuticals Limited: Weak interest cover, Gross margin falling, Dividend stretched. In total 6 of 25 checks show a warning or a red flag.
What does Torrent Pharmaceuticals Limited do?
Torrent Pharmaceuticals Limited is a Healthcare company (Drug Manufacturers - Specialty & Generic) based in India, listed on BSE as TORNTPHARM.BO.
When does Torrent Pharmaceuticals Limited report earnings next?
The next earnings report is expected on 2027-01-28. 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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