Target: ₹6,230

CMP: ₹5,497.80

Alkem Laboratories’ EBITDA grew 32 per cent year on year, led by 15 per cent sales growth, higher gross margin (65.9 per cent), offset by higher costs (staff/R&D/SG&A +16 per cent/45 per cent/28 per cent).

The company expects:

Semaglutide (GLP-1) launch has seen good progress (for its injectable), as the company was able to capture about 11 per cent market share, which should further improve in subsequent months.

Its oral solid form is progressing in late clinical phase, and the company targets filing for India approval in the near term.

Factoring in the FY26 performance, outlook and lower ETR, we have raised our EPS by 2 per cent/6 per cent for FY27/28E and revised the TP to ₹6,230 (28x FY28E EPS). ADD stays as we expect the India business to remain steady and the US business to scale up along with steady margin improvement.

Published on May 29, 2026