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Sun Pharma Advanced Research Co. Ltd. (IN:SPARC)
:SPARC
India Market
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Sun Pharma Advanced Research Co. Ltd. (SPARC) AI Stock Analysis

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IN:SPARC

Sun Pharma Advanced Research Co. Ltd.

(SPARC)

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Neutral 50 (OpenAI - Gpt-5.6Sol)
Rating:50Neutral
Price Target:
₹194.00
▼(-10.35% Downside)
Action:Reiterated
Date:08/26/26
The score is held back primarily by weak financial quality (ongoing negative operating/free cash flow despite the FY2026 earnings rebound) and bearish technical momentum (price below key moving averages with negative MACD). A very low P/E provides some offsetting support on valuation.
Positive Factors
Reported Revenue Rebound
The FY2026 step-change indicates that SPARC can generate substantial reported revenue when development or monetization milestones occur. If supported by repeatable licensing or collaboration activity, this could materially improve operating scale.
Negative Factors
Persistent Cash Burn
Continued operating and free-cash-flow deficits mean reported earnings are not translating into internally funded operations. SPARC may therefore require additional financing, partnerships or asset monetization to sustain its long clinical-development cycles.
Read all positive and negative factors
Positive Factors
Negative Factors
Reported Revenue Rebound
The FY2026 step-change indicates that SPARC can generate substantial reported revenue when development or monetization milestones occur. If supported by repeatable licensing or collaboration activity, this could materially improve operating scale.
Read all positive factors

Sun Pharma Advanced Research Co. Ltd. (SPARC) vs. iShares MSCI India ETF (INDA)

Sun Pharma Advanced Research Co. Ltd. Business Overview & Revenue Model

Company Description
Sun Pharma Advanced Research Company Limited (SPARC), a biopharmaceutical firm established in Mumbai, India, in 2006 and operating as a subsidiary of Shanghvi Finance Private Limited, is globally committed to the discovery and advancement of innov...
How the Company Makes Money
SPARC primarily makes money by monetizing its drug-development pipeline and R&D capabilities rather than by selling large volumes of finished medicines directly. Key revenue streams include: (1) Out-licensing and collaboration income: SPARC can gr...

Sun Pharma Advanced Research Co. Ltd. Financial Statement Overview

Summary
FY2026 shows a sharp reported rebound in revenue and profitability, and leverage looks more manageable. However, operating and free cash flow remain negative every year (including FY2026), and prior years show persistent losses and balance-sheet strain, making earnings quality and funding risk the main overhang.
Income Statement
58
Neutral
Balance Sheet
54
Neutral
Cash Flow
22
Negative
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue19.09B18.79B717.70M755.45M2.39B1.37B
Gross Profit17.81B17.27B486.50M-1.24B821.21M105.52M
EBITDA16.04B15.99B-3.23B-3.73B-2.03B-1.80B
Net Income15.84B15.53B-3.43B-3.87B-2.23B-2.03B
Balance Sheet
Total Assets0.0021.71B3.36B5.15B8.30B2.80B
Cash, Cash Equivalents and Short-Term Investments11.55M26.20M19.60M1.57B4.07B128.89M
Total Debt0.005.59B2.69B611.51M156.70M792.14M
Total Liabilities-13.39B8.32B5.52B3.89B3.17B2.49B
Stockholders Equity13.39B13.39B-2.17B1.26B5.13B312.26M
Cash Flow
Free Cash Flow-1.39B-2.97B-3.71B-4.56B-845.10M-2.41B
Operating Cash Flow-1.16B-2.73B-3.60B-4.29B-691.20M-2.08B
Investing Cash Flow-231.00M-235.30M1.58B3.92B-5.48B-291.67M
Financing Cash Flow1.38B2.96B1.99B424.05M6.17B2.29B

Sun Pharma Advanced Research Co. Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
₹174.67B108.061.68%41.24%-70.51%
67
Neutral
₹285.17B-90.280.07%0.78%-420.81%
66
Neutral
₹290.51B58.360.15%78.33%182.61%
57
Neutral
₹106.88B-25.9711.14%17.26%-68.16%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
51
Neutral
₹147.14B41.820.52%16.27%-23.50%
50
Neutral
₹64.74B4.092855.80%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:SPARC
Sun Pharma Advanced Research Co. Ltd.
206.10
64.95
46.01%
IN:JUBLPHARMA
Jubilant Pharmova Limited
952.80
-147.40
-13.40%
IN:NEULANDLAB
Neuland Laboratories Ltd.
22,872.35
8,459.54
58.69%
IN:PPLPHARMA
Piramal Pharma Limited
219.65
20.65
10.38%
IN:SUVEN
Suven Life Sciences Limited
376.90
143.00
61.14%
IN:COHANCE
Suven Pharmaceuticals Ltd.
449.40
-561.80
-55.56%
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: Aug 26, 2026