Aarey Drugs & Pharmaceuticals Ltd
Fundamental Score
Aarey Drugs & Pharmaceuticals Ltd Share Price Live NSE/BSE
Profitability Metrics
Return on Equity
Return on Capital Employed
Operating Profit Margin (5Y)
Dividend Yield
Valuation Metrics
Price to Earnings
Market Capitalization
Industry P/E
Growth Metrics
YoY Quarterly Profit Growth
YoY Quarterly Sales Growth
Sales Growth (5Y)
EPS Growth (5Y)
Profit Growth (5Y)
Financial Health
Debt to Equity
Interest Coverage
Free Cash Flow (5Y)
Ownership Structure
Promoter Holding
FII Holding
DII Holding
Pledged Percentage
Labels (e.g., "Excellent", "Good") are peer-based vs industry/sector averages — data-only, not advice
Market Data Analysis & Educational Insights
Educational evaluation of AAREYDRUGS across key market metrics for learning purposes.
Positive Indicators
1 factors identified
Zero Share Pledging Risk
Observation: No promoter shares pledged as collateral, reducing forced-selling risk.
Analysis: Absence of share pledging eliminates potential forced-selling pressure during market stress.
Risk Factors
16 factors identified
Below-Average Return on Equity (2.96%)
Observation: Returns on equity are below industry benchmarks.
Analysis: ROE <10% may indicate inefficient capital utilization. Consider monitoring for operational improvements and management effectiveness.
Suboptimal ROCE (6.38%)
Observation: Returns on capital employed are below expectations.
Analysis: ROCE <10% suggests potential inefficiencies in capital allocation. Review business model and competitive positioning.
Margin Pressure Concerns (1.46%)
Observation: Operating margins are below industry standards.
Analysis: OPM <5% may indicate pricing pressures or cost management challenges. Monitor for operational improvements.
Premium Valuation Risk (P/E: 68.56x)
Observation: High valuation multiples may limit upside potential.
Analysis: Elevated P/E ratios require strong growth execution to justify current valuations. Consider entry timing carefully.
Profit Decline Concern (-36.25%)
Observation: Significant year-over-year profit contraction observed.
Analysis: Declining profitability requires investigation into underlying causes. Monitor for recovery signs and management guidance.
Revenue Contraction (-19.95%)
Observation: Sales decline may indicate market challenges or competitive pressures.
Analysis: Negative revenue growth requires analysis of market conditions and competitive positioning. Monitor recovery strategies.
Weak Earnings Growth (-10.55% CAGR)
Observation: Below-average 5-year EPS growth performance.
Analysis: Low EPS growth may not keep pace with inflation. Consider growth catalysts and competitive positioning.
Stagnant Profit Growth (-7.04% CAGR)
Observation: Limited 5-year profit growth trajectory.
Analysis: Low profit growth may indicate scalability challenges or market maturity. Assess transformation initiatives.
Weak Interest Coverage (2.49x)
Observation: Limited ability to service debt obligations from earnings.
Analysis: Low interest coverage raises concerns about financial stability. Monitor cash flow and debt reduction plans.
Negative Free Cash Flow (₹-0.03 Cr over 5Y)
Observation: Cash outflows exceed inflows, indicating capital intensity or working capital issues.
Analysis: Negative FCF requires analysis of capital expenditure cycle and working capital management efficiency.
Limited Institutional Interest (FII+DII: 1.13%)
Observation: Low institutional participation may affect liquidity and visibility.
Analysis: Limited institutional interest may indicate size constraints or visibility issues in the investment community.
No Dividend Distribution
Observation: Company does not currently pay dividends to shareholders.
Analysis: Zero dividend yield may indicate growth reinvestment focus or cash flow constraints. Assess capital allocation strategy.
Very Low ROE
Observation: Poor capital utilization and shareholder returns.
Analysis: ROE below 5% suggests significant inefficiencies in capital deployment.
High P/E Ratio
Observation: Stock may be overvalued relative to earnings.
Analysis: P/E above 30 requires strong growth execution to justify current valuations.
Very High P/E Ratio
Observation: Significant overvaluation risk present.
Analysis: Extremely high P/E ratios indicate potential bubble territory and high downside risk.
Small Market Cap
Observation: Higher investment risk due to limited size.
Analysis: Small-cap stocks typically carry higher volatility and liquidity risks.
Financial Statements
Comprehensive financial data for Aarey Drugs & Pharmaceuticals Ltd
About AAREYDRUGS
Business Overview
Aarey Drugs & Pharmaceuticals Limited manufactures and sells active pharmaceutical ingredients, intermediates, and specialty chemicals for various industrial applications in India. The company offers intermediates, including mono methyl urea, di methyl urea, ortho para nitro anisole, 2-bromomethyl-1,3-dioxolane, and uracil. It also provides active pharmaceutical ingredients, such as metformin HCl, mefenamic acid, and doxofylline. In addition, the company trades chemicals and solvents, including aromatic chemicals, chemical acids, chlor-alkali, glycols and glycol ethers, fiber intermediates, and acetates and esters, as well as industrial alcohols, ketones, amines, oleochemicals, intermediates, olefins, phosphates, fertilizers, monomers, and chemicals. It serves pharmaceutical formulation manufacturers and pharmaceutical merchant exporters. Aarey Drugs & Pharmaceuticals Limited was incorporated in 1990 and is headquartered in Mumbai, India.
Company Details
Key Leadership
AAREYDRUGS Stock Details & Analysis
Key Financial Metrics
Growth & Valuation
Frequently Asked Questions
What is the current price of Aarey Drugs & Pharmaceuticals Ltd (AAREYDRUGS)?
As of 29 Jan 2026, 10:34 am IST, Aarey Drugs & Pharmaceuticals Ltd (AAREYDRUGS) is currently trading at ₹71.15. The stock has a market capitalization of ₹245.46 (Cr).
Is AAREYDRUGS share price Overvalued or Undervalued?
AAREYDRUGS is currently trading at a P/E ratio of 68.56x, compared to the industry average of 31.77x. Based on this relative valuation, the stock appears to be Overvalued against its sector peers.
What factors affect the Aarey Drugs & Pharmaceuticals Ltd share price?
Key factors influencing AAREYDRUGS's price include its quarterly earnings growth (Sales Growth: -19.95%), raw material costs, government infrastructure spending, and institutional flows (FII/DII holding).
Is Aarey Drugs & Pharmaceuticals Ltd a good stock for long-term investment?
Aarey Drugs & Pharmaceuticals Ltd shows a 5-year Profit Growth of -7.04% and an ROE of 2.96%. Long-term investors should consider these fundamentals alongside the debt-to-equity ratio of 0.34 before investing.
How does Aarey Drugs & Pharmaceuticals Ltd compare with its industry peers?
Aarey Drugs & Pharmaceuticals Ltd competes with major peers in the Pharmaceuticals. Investors should compare AAREYDRUGS's P/E of 68.56x and ROE of 2.96% against the industry averages to determine its competitive standing.
What is the P/E ratio of AAREYDRUGS and what does it mean?
AAREYDRUGS has a P/E ratio of 68.56x compared to the industry average of 31.77x. The Price-to-Earnings (P/E) ratio is calculated by dividing the current share price by earnings per share (EPS). This means investors are paying ₹69 for every ₹1 of annual earnings.
How is AAREYDRUGS performing according to Bull Run's analysis?
AAREYDRUGS has a Bull Run fundamental score of 17.4/100, which indicates concerns that require careful analysis. This comprehensive rating is based on 15+ financial parameters including profitability, growth metrics, and valuation ratios.
What sector and industry does AAREYDRUGS belong to?
AAREYDRUGS operates in the Pharmaceuticals industry. This classification helps understand the competitive landscape and sector-specific trends affecting Aarey Drugs & Pharmaceuticals Ltd.
What is Return on Equity (ROE) and why is it important for AAREYDRUGS?
AAREYDRUGS has an ROE of 2.96%, which suggests challenges in generating returns from shareholders' equity. Return on Equity measures how efficiently Aarey Drugs & Pharmaceuticals Ltd generates profits from shareholders' equity.
How is AAREYDRUGS's debt-to-equity ratio and what does it indicate?
AAREYDRUGS has a debt-to-equity ratio of 0.34, which indicates moderate leverage that should be monitored. A ratio below 1.0 generally indicates conservative financing.
What is AAREYDRUGS's dividend yield and is it a good dividend stock?
AAREYDRUGS offers a dividend yield of 0.00%, which means you receive ₹0.00 annual dividend for every ₹100 invested.
How has AAREYDRUGS grown over the past 5 years?
AAREYDRUGS has achieved 5-year growth rates of: Sales Growth 9.76%, Profit Growth -7.04%, and EPS Growth -10.55%.
What is the promoter holding in AAREYDRUGS and why does it matter?
Promoters hold 44.80% of AAREYDRUGS shares, with 0.00% of promoter shares pledged. High promoter holding often indicates strong management confidence.
What is AAREYDRUGS's market capitalization category?
AAREYDRUGS has a market capitalization of ₹245 crores, placing it in the Small-cap category.
How volatile is AAREYDRUGS stock?
AAREYDRUGS has a beta of N/A. A beta > 1 suggests the stock is more volatile than the market, while a beta < 1 suggests it is less volatile.
What is the 52-week high and low for AAREYDRUGS?
AAREYDRUGS has a 52-week high of ₹N/A and low of ₹N/A.
What is AAREYDRUGS's operating profit margin trend?
AAREYDRUGS has a 5-year average Operating Profit Margin (OPM) of 1.46%, indicating the company's operational efficiency.
How is AAREYDRUGS's quarterly performance?
Recent quarterly performance shows YoY Sales Growth of -19.95% and YoY Profit Growth of -36.25%.
What is the institutional holding pattern in AAREYDRUGS?
AAREYDRUGS has FII holding of 1.13% and DII holding of 0.00%. Significant institutional holding often suggests professional confidence in the stock.