Suven Pharmaceuticals Ltd. (COHANCE) AI Stock Analysis

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Suven Pharmaceuticals Ltd.

(NSE:COHANCE)

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Rating:61Neutral

Price Target:INR 487.00▲(9.57% Upside)

Action:reiterated

Date:09/24/26

The score is driven mainly by solid financial resilience (low leverage and strong revenue growth) but is held back by the sharp deterioration in margins and weaker free-cash-flow conversion. Technicals are moderately constructive with price above key moving averages, while valuation is the largest negative due to the very high P/E.

Positive Factors

Strong Revenue GrowthRapid FY2026 revenue growth indicates stronger customer activity and expanding commercial demand for the company’s pharmaceutical development and manufacturing services. If sustained, this larger revenue base can support scale benefits, broader customer programs, and future earnings recovery.

Negative Factors

Sharp Margin CompressionThe steep decline in gross and net margins shows that higher sales are currently producing a much smaller profit contribution. Persistent margin pressure would weaken earnings quality, reduce reinvestment capacity, and make results more dependent on continued revenue growth rather than efficient execution.

Suven Pharmaceuticals Ltd. (COHANCE) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 167.20B
Dividend Yield: ―
Average Volume (3M): 193.10K
Price to Earnings (P/E): 105.3
Beta (1Y): 1.09
Revenue Growth: 41.24%
EPS Growth: -70.51%
Country: India
Employees: 1,193
Sector: General
Sector Strength: 55
Industry: Drug Manufacturers - Specialty & Generic

Suven Pharmaceuticals Ltd. Business Overview & Revenue Model

Company Description

Headquartered in Hyderabad, Cohance Lifesciences Limited operates as a pharmaceutical enterprise, with primary expertise in contract development and manufacturing (CDMO) services. Its business scope also includes the creation of active pharmaceutical...

How the Company Makes Money

Suven Pharmaceuticals Ltd. makes money primarily by providing contract-based development and manufacturing services to external customers in the pharmaceutical industry. Revenue is generated through (1) process research and development work (e.g., de...

Suven Pharmaceuticals Ltd. Financial Statement Overview

Summary

Strong FY2026 revenue growth (~25% YoY) and a conservatively financed balance sheet (debt-to-equity ~0.10) support the score, but profitability compressed sharply (gross margin ~40% vs ~57–69% prior; net margin ~8% vs ~22–37% prior) and cash conversion weakened with free cash flow down ~21% YoY and only ~38% of net income.

Income Statement

62Positive

Balance Sheet

84Very Positive

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	21.41B	22.69B	11.98B	10.51B	13.40B	13.20B
Gross Profit	11.44B	9.11B	8.22B	6.80B	7.52B	7.46B
EBITDA	3.27B	4.32B	4.06B	4.09B	5.73B	5.80B
Net Income	1.06B	1.79B	2.68B	3.00B	4.11B	4.54B
Balance Sheet
Total Assets	51.92B	57.30B	30.32B	22.54B	19.66B	18.30B
Cash, Cash Equivalents and Short-Term Investments	4.59B	3.26B	2.90B	8.21B	4.84B	5.26B
Total Debt	2.08B	4.00B	2.79B	649.96M	703.41M	971.27M
Total Liabilities	11.96B	16.96B	11.91B	2.03B	2.31B	3.02B
Stockholders Equity	38.95B	39.11B	16.97B	20.51B	17.35B	15.27B
Cash Flow
Free Cash Flow	1.71B	1.35B	1.32B	3.07B	1.65B	2.55B
Operating Cash Flow	2.61B	3.55B	2.88B	3.58B	4.51B	3.30B
Investing Cash Flow	-1.94B	-2.58B	-2.55B	-3.62B	-1.95B	-1.36B
Financing Cash Flow	-828.50M	-1.49B	33.20M	-138.02M	-2.36B	-1.56B

Suven Pharmaceuticals Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price444.45

Price Trends

50DMA453.11Negative

100DMA445.66Negative

200DMA410.25Positive

Market Momentum

MACD4.40Negative

RSI45.03Neutral

STOCH55.55Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:COHANCE, the sentiment is Negative. The current price of 444.45 is below the 20-day moving average (MA) of 455.49, below the 50-day MA of 453.11, and above the 200-day MA of 410.25, indicating a neutral trend. The MACD of 4.40 indicates Negative momentum. The RSI at 45.03 is Neutral, neither overbought nor oversold. The STOCH value of 55.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:COHANCE.

Suven Pharmaceuticals Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:COHANCE against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:GRANULES	64Neutral	INR 208.04B	31.03	―	0.21%	24.83%	36.88%
IN:NEULANDLAB	64Neutral	INR 252.76B	50.78	―	0.17%	78.33%	182.61%
IN:COHANCE	61Neutral	INR 170.05B	105.28	―	―	41.24%	-70.51%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:LAURUSLABS	54Neutral	INR 1.29T	96.96	―	0.08%	23.03%	95.69%
IN:SOLARA	51Neutral	INR 30.43B	81.94	―	―	27.30%	456.80%
IN:JUBLPHARMA	45Neutral	INR 147.29B	41.54	―	0.54%	16.27%	-23.50%

* General Sector Average

Performance Comparison

IN:COHANCE and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:COHANCE	Suven Pharmaceuticals Ltd.	444.45	-298.60	-40.19%
IN:GRANULES	Granules India Limited	839.55	267.34	46.72%
IN:JUBLPHARMA	Jubilant Pharmova Limited	924.70	-238.38	-20.50%
IN:LAURUSLABS	Laurus Labs Ltd.	2392.00	1417.82	145.54%
IN:NEULANDLAB	Neuland Laboratories Ltd.	19701.10	2581.84	15.08%
IN:SOLARA	Solara Active Pharma Sciences Ltd.	633.05	1.10	0.17%

Suven Pharmaceuticals Ltd. Corporate Events

Cohance Lifesciences Completes USFDA Inspection at Shamshabad Plant

Sep 4, 2026

Cohance Lifesciences Limited has reported the completion of a United States Food and Drug Administration inspection at its Shamshabad, Telangana formulation plant, conducted between August 27 and September 4, 2026. The audit ended with Form FDA 483 b...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Sep 24, 2026

Suven Pharmaceuticals Ltd. AI Stock Analysis

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