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Consumer

Pharma PE Ratio

Price-to-Earnings, PB Ratio & Dividend Yield

Last updated

P/E Ratio Today
39.18
3Y Avg: 34.27
15.9% above avg
P/B Ratio
5.37
3Y Avg: 5.10
5.3% above avg
Dividend Yield
0.60%
3Y Avg: 0.70%

Pharma Valuation Insight — Getting expensive

Pharma is trading 15.9% above its 3-year median PE of 33.8. Valuations are above historical norms. Consider being selective with new investments.

Pharma PE Valuation Zones

Based on the last 3 years of Pharma data (avg PE: 34.3), here are the valuation zones:

Pharma PE Range Market Valuation What Investors Typically Do
Below 30.8 Undervalued (Buying Zone) Historically strong entry points for long-term investors
30.8 – 37.7 Fairly Valued Continue SIPs and regular investing with normal allocation
37.7 – 41.1 Getting Expensive Be cautious, continue SIPs but avoid lump sum investments
Above 41.1 Overvalued (Caution Zone) Consider booking partial profits

Pharma PE Ratio Chart

Time Range:
3Y Average: 34.27
3Y Low: 29.95
3Y High: 39.63
Range: 30.0 - 39.6

Pharma PE Ratio Monthly History

Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2026 33.1 33.7 34.0 33.6 37.2 37.4 39.1 — — — — —
2025 35.1 32.3 31.4 32.0 31.7 31.1 32.2 31.6 32.1 34.1 33.7 33.6
2024 35.0 36.0 36.0 36.4 35.6 35.4 37.8 38.0 38.6 38.5 35.6 35.6
2023 32.7 31.4 30.9 32.6 31.4 28.7 30.8 32.4 32.2 31.8 31.7 32.9
2022 31.9 31.3 32.4 33.1 32.2 37.0 37.9 37.2 37.1 36.7 34.9 33.3
2021 38.4 35.3 33.5 34.2 36.4 36.1 36.8 30.9 30.6 30.8 31.9 31.7
2020 26.3 25.4 22.2 27.6 29.1 30.9 31.1 33.4 32.9 33.7 35.1 37.3
2019 48.7 49.0 51.5 52.8 47.5 39.0 38.4 32.4 32.0 29.4 28.3 25.4
2018 47.5 47.0 47.2 49.4 47.6 50.5 52.7 57.9 51.2 47.5 47.0 48.3
2017 38.7 37.8 38.0 37.1 35.7 34.7 36.3 37.9 45.0 46.9 48.1 45.0
2016 — — — — — — 45.2 44.4 44.5 43.9 40.1 38.5

Monthly average P/E ratios. Colors relative to 3Y average (34.3): green = below avg, blue = near avg, orange = above avg, red = well above avg.

“—” = PE data unavailable for that month. This happens when aggregate index earnings are negative or near-zero, making the PE ratio undefined.

Pharma PB Ratio Chart

3Y Avg: 5.10
Low: 3.99
High: 6.21

Pharma Dividend Yield Chart

3Y Avg: 0.70%
Low: 0.51%
High: 1.05%

Year-by-Year Historical Data

Year PE Avg PE Low PE High PB Avg DY Avg
2026 35.11 31.87 39.52 5.03 0.68%
2025 32.63 29.95 37.26 5.07 0.68%
2024 36.55 33.80 39.63 5.40 0.64%
2023 31.60 27.73 33.96 4.44 0.95%
2022 34.59 30.01 38.66 4.54 0.80%
2021 33.88 29.17 39.88 5.31 0.59%
2020 30.53 19.87 38.43 4.12 0.65%
2019 39.62 24.83 53.38 3.46 0.67%
2018 49.57 44.55 61.80 4.00 0.53%
2017 40.09 32.54 52.43 4.59 0.50%
2016 42.47 36.87 46.08 5.49 0.47%

Pharma Index Constituents

20 companies in the CNX Pharma index

Company Price Day Change PE TTM 52W Range
Abbott India Ltd.
ABBOTINDIA
 ₹27,395.0 +0.9% 41.2
Low ₹25,150 High ₹35,310
Ajanta Pharmaceuticals Ltd.
AJANTPHARM
 ₹3,421.4 +2.2% 40.5
Low ₹2,330 High ₹3,507
Alkem Laboratories Ltd.
ALKEM
 ₹5,567.0 -1.8% 30.7
Low ₹4,739 High ₹5,934
Aurobindo Pharma Ltd.
AUROPHARMA
 ₹1,549.3 -1.0% 25.9
Low ₹1,016 High ₹1,637
Biocon Ltd.
BIOCON
 ₹411.0 -1.8% 48.6
Low ₹331 High ₹440
Cipla Ltd.
CIPLA
 ₹1,426.7 -0.9% 29.7
Low ₹1,166 High ₹1,673
Divi's Laboratories Ltd.
DIVISLAB
 ₹6,938.5 +1.5% 84.1
Low ₹5,637 High ₹6,968
Dr. Reddy's Laboratories Ltd.
DRREDDY
 ₹1,234.5 -0.8% 18.2
Low ₹1,148 High ₹1,415
Gland Pharma Ltd.
GLAND
 N/A N/A N/A N/A
Glenmark Pharmaceuticals Ltd.
GLENMARK
 ₹2,301.3 +0.8% 62.0
Low ₹1,793 High ₹2,474
Ipca Laboratories Ltd.
IPCALAB
 ₹1,823.3 +2.0% 62.7
Low ₹1,252 High ₹1,839
J.B. Chemicals & Pharmaceuticals Ltd.
JBCHEPHARM
 ₹2,460.0 +1.0% 55.3
Low ₹1,627 High ₹2,474
Laurus Labs Ltd.
LAURUSLABS
 N/A N/A N/A N/A
Lupin Ltd.
LUPIN
 ₹2,492.6 -0.2% 34.8
Low ₹1,837 High ₹2,527
Mankind Pharma Ltd.
MANKIND
 N/A N/A N/A N/A
Piramal Pharma Ltd.
PPLPHARMA
 N/A N/A N/A N/A
Sun Pharmaceutical Industries Ltd.
SUNPHARMA
 ₹1,921.4 -0.7% 42.1
Low ₹1,548 High ₹1,954
Torrent Pharmaceuticals Ltd.
TORNTPHARM
 ₹4,951.1 +1.0% 77.5
Low ₹3,376 High ₹4,973
Wockhardt Ltd.
WOCKPHARMA
 ₹1,854.5 +2.4% 30.1
Low ₹1,087 High ₹2,422
Zydus Lifesciences Ltd.
ZYDUSLIFE
 N/A N/A N/A N/A

About Pharma Index

Index Overview

Comprises pharmaceutical companies like Sun Pharma, Dr. Reddy's, Cipla, Divi's Labs, and Lupin. The index currently has 20 constituent companies and is categorised under Consumer on Craytheon.

Current Pharma PE Ratio today 39.2 | PB 5.37 | Div Yield 0.60%

How to Use This Data

  • 1. Compare to historical range: If the current PE is near the 10-year low, the sector may be undervalued relative to its own history.
  • 2. Cross-sector comparison: Compare this sector's PE with others on the sector PE overview page.
  • 3. Market context: Compare with the broader Nifty 50 PE Ratio to understand premium or discount.
  • 4. Use multiple metrics: A low PE with a high dividend yield might indicate genuine value, while a low PE with declining PB could signal deteriorating fundamentals.

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Disclaimer: The information provided on this page is for educational and informational purposes only. It should not be construed as investment advice, a recommendation, or an offer to buy or sell any securities. Past performance and historical PE ratios do not guarantee future results. Always consult a qualified financial advisor before making investment decisions.

Data Source: Indian Stock Exchange