# Cipla (CIPLA.NSE)

Canonical: https://gigainvestors.com/s/CIPLA.NSE

Analysis as of: 2026-10-16T07:33:23.483Z. Financial observations: FY2012–FY2026.

Listing currency: INR. Reporting currency: INR.

## Verdict

A wonderful business

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: INR 1,314.60 per share; close as of 2026-10-14.

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.29×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.08×

- FY2018: 0.10×

- FY2019: 0.11×

- FY2020: 0.12×

- FY2021: 0.17×

- FY2022: 0.16×

- FY2023: 0.17×

- FY2024: 0.20×

- FY2025: 0.22×

- FY2026: 0.17×

### moat: pass

- The return floor includes all equity, debt and leases without deducting cash or goodwill. Only a floor above the hurdle establishes a pass.

- ROIC, median of available years: 15.2%

- ROIC, second-lowest year: 13.5%

- Conservative return floor, median: 11.4%

- Conservative return floor, second lowest: 6.7%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.3%

- ROIC including acquisitions, ten-year median: 11.8%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2022: 15.2%

- FY2023: 13.5%

- FY2024: 16.2%

- FY2025: 16.8%

- FY2026: 11.4%

### economics: pass

- Owner earnings / net income, 5-yr: 0.91×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: INR 168B

- Net income, five-year total: INR 186B

- Return on incremental invested capital: 44.3%

- Working capital / revenue, annual change: -0.5 pp

- Working capital / revenue, change between three-year averages: -3.6 pp

- Working capital / revenue, final three-year average: 30.4%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 1.10×

- FY2023: 0.95×

- FY2024: 0.98×

- FY2025: 0.98×

- FY2026: 0.55×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks unrelated to price (informational)

- Per-share earnings: 16.93 to 51.01 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.1%

- Ordinary dilution, 5-year annual growth: 0.0%

- Market cap gain: INR 512B

- Cumulative retained earnings: INR 206B

- Diluted shares, 10-year annual growth: 0.1%

- Diluted shares, 5-year annual growth: 0.0%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: 14.8%

- Per-share value change: INR 34.08

- Per-share value, starting three-year median: INR 16.93

- Per-share value, ending three-year median: INR 51.01

- Average buyback yield: 0.0%

- Buyback history: 1 years

- Debt-funded buybacks: No

- Cumulative net income, 10 years: INR 265B

- ROIC, last three-year median: 16.2%

Chart: Earnings per share; fiscal year observations.

- FY2017: INR 12.51

- FY2018: INR 17.50

- FY2019: INR 18.93

- FY2020: INR 19.16

- FY2021: INR 29.79

- FY2022: INR 31.17

- FY2023: INR 34.69

- FY2024: INR 51.01

- FY2025: INR 65.24

- FY2026: INR 48.00

### accounting: pass

- restructuring or one-time charges in at least three of five years

- Sloan accruals: -0.1%

- Receivables to sales index (DSRI): 1.00×

- Restructuring years, last five: 4

- Stock compensation / operating cash flow: 1.5%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.02×

- Accounting red flags: 1

- Goodwill and intangibles / equity: 0.19×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -6.6%

- FY2018: -0.2%

- FY2019: -0.7%

- FY2020: -6.5%

- FY2021: -5.4%

- FY2022: -3.0%

- FY2023: -1.5%

- FY2024: -0.0%

- FY2025: 0.7%

- FY2026: -0.1%

## Holders

## Price story

Down 21% since Aug 2024 · sales +2.2%

Story as of 2026-10-16T09:59:55.917Z; price observation 2026-10-14.

### Sales · FY2025–2026

sales +2.2%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: INR 144B 

- FY2018: INR 152B 

- FY2019: INR 164B 

- FY2020: INR 171B 

- FY2021: INR 192B 

- FY2022: INR 218B 

- FY2023: INR 228B 

- FY2024: INR 258B 

- FY2025: INR 275B 

- FY2026: INR 282B 

### Gross margin · FY2026

gross margin 61.3%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2023: 59.4% 

- FY2024: 61.5% 

- FY2025: 63.1% 

- FY2026: 61.3% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in pharmaceuticals; annual sales are INR 281.6 billion.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2026: revenue 281630000000; grossProfit 172596000000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 61.3% to 63.1% during 2024–26; it earns 15.2% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.483Z); FY2024: grossProfit / revenue = 61.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.483Z); FY2025: grossProfit / revenue = 63.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.483Z); FY2026: grossProfit / revenue = 61.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.483Z); 10-year return on capital observations [[2022,0.15184596107080536],[2023,0.1353045292044184],[2024,0.1621510490518369],[2025,0.16828186508297674],[2026,0.11394979232297024]]; median 0.15184596107080536. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Reinvests 16.7% of cash earnings; earns 44.3% on new investment.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2017: growth capex 0; upkeep 11360000000; owner earnings 11930000000. Growth capex / owner earnings = 0.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2018: growth capex 0; upkeep 8160000000; owner earnings 19180000000. Growth capex / owner earnings = 0.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2019: growth capex 0; upkeep 5270000000; owner earnings 23270000000. Growth capex / owner earnings = 0.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2020: growth capex 0; upkeep 10000000000; owner earnings 17220000000. Growth capex / owner earnings = 0.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2021: growth capex 0; upkeep 8190000000; owner earnings 26540000000. Growth capex / owner earnings = 0.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2022: growth capex 0; upkeep 7010000000; cash acquisitions 0; owner earnings 27759000000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2023: growth capex 110000000; upkeep 11720000000; cash acquisitions 0; owner earnings 26683100000. Growth capex plus acquisitions / owner earnings = 0.00412245953431198.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2024: growth capex 2980000000; upkeep 10510000000; cash acquisitions 3008900000; owner earnings 40449800000. Growth capex plus acquisitions / owner earnings = 0.1480575923737571.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2025: growth capex 4410000000; upkeep 11070000000; cash acquisitions 2050900000; owner earnings 51927700000. Growth capex plus acquisitions / owner earnings = 0.12442107006472461.

- Source: https://www.screener.in/company/CIPLA/consolidated/ (filed 2026-10-16T07:33:23.483Z); FY2026: growth capex 2490719906.2716637; upkeep 28299280093.728336; cash acquisitions 1106500000; owner earnings 21522519906.271664. Growth capex plus acquisitions / owner earnings = 0.1671374877076282.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.483Z); Incremental return on capital 0.44293826629382665, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.483Z); Dividend observations: [[2017,1610000000],[2018,1610000000],[2019,2420000000],[2020,5640000000],[2022,4030000000],[2023,4040000000],[2024,6860000000],[2025,10500000000],[2026,12920000000]]. Zero only counted when supported by a complete cash-flow statement.

### What the price says

The price is 3.8 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:23.483Z); Closing price 1314.5999755859375 INR; reporting-to-trading FX 1; FY2026 annual sales per share 348.49806651198764; price multiple 3.7721872856953653. FY2026 cash earnings/share 26.632661910312965. Closing-price date 2026-10-14.

## Monthly share-price history (INR per share)

- 2016-11: INR 566.60 per share

- 2016-12: INR 568.80 per share

- 2017-01: INR 575.35 per share

- 2017-02: INR 583.70 per share

- 2017-03: INR 592.95 per share

- 2017-04: INR 557.45 per share

- 2017-05: INR 516.35 per share

- 2017-06: INR 555.60 per share

- 2017-07: INR 560.10 per share

- 2017-08: INR 571.90 per share

- 2017-09: INR 586.10 per share

- 2017-10: INR 627.60 per share

- 2017-11: INR 600.90 per share

- 2017-12: INR 608.50 per share

- 2018-01: INR 592.15 per share

- 2018-02: INR 589.65 per share

- 2018-03: INR 545.45 per share

- 2018-04: INR 607.40 per share

- 2018-05: INR 524.80 per share

- 2018-06: INR 616.65 per share

- 2018-07: INR 641.35 per share

- 2018-08: INR 662.15 per share

- 2018-09: INR 654.05 per share

- 2018-10: INR 629.25 per share

- 2018-11: INR 540.85 per share

- 2018-12: INR 519.50 per share

- 2019-01: INR 517.30 per share

- 2019-02: INR 554.55 per share

- 2019-03: INR 528.90 per share

- 2019-04: INR 565.00 per share

- 2019-05: INR 558.85 per share

- 2019-06: INR 553.45 per share

- 2019-07: INR 521.10 per share

- 2019-08: INR 472.45 per share

- 2019-09: INR 425.50 per share

- 2019-10: INR 466.85 per share

- 2019-11: INR 466.70 per share

- 2019-12: INR 478.20 per share

- 2020-01: INR 446.90 per share

- 2020-02: INR 402.10 per share

- 2020-03: INR 422.85 per share

- 2020-04: INR 589.60 per share

- 2020-05: INR 648.15 per share

- 2020-06: INR 640.25 per share

- 2020-07: INR 720.15 per share

- 2020-08: INR 713.55 per share

- 2020-09: INR 774.70 per share

- 2020-10: INR 754.50 per share

- 2020-11: INR 745.60 per share

- 2020-12: INR 819.95 per share

- 2021-01: INR 825.90 per share

- 2021-02: INR 787.05 per share

- 2021-03: INR 815.10 per share

- 2021-04: INR 910.35 per share

- 2021-05: INR 949.35 per share

- 2021-06: INR 971.90 per share

- 2021-07: INR 920.05 per share

- 2021-08: INR 947.80 per share

- 2021-09: INR 983.55 per share

- 2021-10: INR 905.05 per share

- 2021-11: INR 971.30 per share

- 2021-12: INR 944.10 per share

- 2022-01: INR 945.00 per share

- 2022-02: INR 925.05 per share

- 2022-03: INR 1,018.05 per share

- 2022-04: INR 981.20 per share

- 2022-05: INR 992.95 per share

- 2022-06: INR 917.20 per share

- 2022-07: INR 977.40 per share

- 2022-08: INR 1,038.45 per share

- 2022-09: INR 1,114.95 per share

- 2022-10: INR 1,167.40 per share

- 2022-11: INR 1,139.65 per share

- 2022-12: INR 1,075.95 per share

- 2023-01: INR 1,017.95 per share

- 2023-02: INR 906.40 per share

- 2023-03: INR 900.50 per share

- 2023-04: INR 908.05 per share

- 2023-05: INR 953.05 per share

- 2023-06: INR 1,014.95 per share

- 2023-07: INR 1,175.00 per share

- 2023-08: INR 1,257.60 per share

- 2023-09: INR 1,186.15 per share

- 2023-10: INR 1,200.00 per share

- 2023-11: INR 1,212.30 per share

- 2023-12: INR 1,246.30 per share

- 2024-01: INR 1,351.00 per share

- 2024-02: INR 1,480.35 per share

- 2024-03: INR 1,496.95 per share

- 2024-04: INR 1,400.00 per share

- 2024-05: INR 1,447.20 per share

- 2024-06: INR 1,480.80 per share

- 2024-07: INR 1,544.30 per share

- 2024-08: INR 1,654.90 per share

- 2024-09: INR 1,654.10 per share

- 2024-10: INR 1,551.75 per share

- 2024-11: INR 1,533.90 per share

- 2024-12: INR 1,529.00 per share

- 2025-01: INR 1,479.40 per share

- 2025-02: INR 1,407.50 per share

- 2025-03: INR 1,442.20 per share

- 2025-04: INR 1,550.10 per share

- 2025-05: INR 1,465.70 per share

- 2025-06: INR 1,505.90 per share

- 2025-07: INR 1,554.60 per share

- 2025-08: INR 1,589.40 per share

- 2025-09: INR 1,503.30 per share

- 2025-10: INR 1,501.30 per share

- 2025-11: INR 1,531.30 per share

- 2025-12: INR 1,511.30 per share

- 2026-01: INR 1,324.00 per share

- 2026-02: INR 1,348.20 per share

- 2026-03: INR 1,224.20 per share

- 2026-04: INR 1,309.60 per share

- 2026-05: INR 1,401.00 per share

- 2026-06: INR 1,465.40 per share

- 2026-07: INR 1,473.20 per share

- 2026-08: INR 1,409.20 per share

- 2026-09: INR 1,346.00 per share

- 2026-10: INR 1,328.00 per share

## Annual estimated value (INR per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:39:09.069Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.