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AARTI DRUGS
PE (Price/Earnings) Ratio

The Current P/E Ratio of AARTI DRUGS is 27.12.

Share Price ₹452.3Dec 26,2024
Market Cap ₹4,129.5 Cr
Earnings-TTM₹152.3 CrTTM-Consolidated Results
Price/Earnings27.12xCalculated as Market Cap/Earnings
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Definition & Calculation of PE (Price/Earnings) ratio of AARTI DRUGS

Price-to-Earnings ratio, P/E Multiple, or P/E Ratio is an important valuation multiple that is defined as:

P/E = Market Capitalization / Net Income

or, using per-share numbers:

P/E = Stock Price / Earnings Per Share (EPS)

Applying the above formula, P/E ratio of AARTI DRUGS is calculated as :

Current Market Cap [ ₹4,129.5 Cr] as on Dec 26,2024

(/) Earnings [ ₹152.3 Cr] based on TTM-Consolidated Results

(=) P/E Ratio [ 27.12x ]

P/E Ratio indicates the multiple of earnings investors are willing to pay to own one share of the company.

Thus, for AARTI DRUGS , the investors are currently willing to pay 27.12 times earnings to own 1 share of the company.

PE Multiples are the most widely used valuation multiple in practice.

Since P/E ratio uses Net Income in the calculation, P/E multiples are not always reliable for valuing companies with negative earnings.

In such cases, you may consider using Price to Book ratio or Price to Sales ratio of AARTI DRUGS !

P/E ratios, also, would not adjust for differences in the capital structure between companies.

The chart below summarizes the trend in P/E Ratio of AARTI DRUGS over the last five years.

Historical PE (Price/Earnings) ratio chart of AARTI DRUGS


PE Ratio Performance Analysis for AARTI DRUGS

- AARTI DRUGS 's latest p/e ratio is 27.12x.

- AARTI DRUGS 's p/e ratio for fiscal years ending Mar2024 to Mar2020 averaged 17.32x.

- AARTI DRUGS 's operated at median p/e ratio of 19.37x from fiscal years ending March 2018 to 2022.

- Looking back at the last 5 fiscal years, AARTI DRUGS 's p/e ratio peaked in Mar2024 at 23.27x.

- AARTI DRUGS 's p/e ratio hit its five-year low in Mar2020 of 2.08x.


How does AARTI DRUGS 's P/E Ratio benchmark against top 10 peers in Pharmaceuticals & Drugs Industry?

Peer Comparison (Pharmaceuticals & Drugs Industry)Earnings-TTM (Cr)PE RatioMarket Cap
AARTI DRUGS 152.2527.124,129.5
SUN PHARMACEUTICAL INDUSTRIES LTD11,136.5039.67441,838.0
CIPLA LTD4,485.2226.81120,270.0
DR REDDYS LABORATORIES LTD5,406.8020.91113,077.0
ZYDUS LIFESCIENCES LTD4,298.9022.4696,553.2
DIVIS LABORATORIES LTD1,836.0085.03156,107.0
MANKIND PHARMA LTD2,124.8656.57120,212.0
TORRENT PHARMACEUTICALS LTD1,802.0064.17115,643.0
LUPIN LTD2,651.9437.5399,532.1
AUROBINDO PHARMA LTD3,598.8320.2772,945.8
ABBOTT INDIA LTD1,284.6647.3660,844.2

Pharmaceuticals & Drugs Industry Benchmark (Top 10) PE Analysis vs AARTI DRUGS 's P/E Ratio

Top 10 Industry PeersPE Ratio
Min industry PE 20.27x
Max industry PE 85.03x
Median industry PE 37.53x
Average industry PE 40.72x



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