Zota Health Care Ltd. (ZOTA) AI Stock Analysis

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Zota Health Care Ltd.

(NSE:ZOTA)

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Rating:47Neutral

Price Target:INR 1,199.00▼(-7.56% Downside)

Action:reiterated

Date:11/03/26

Financial performance is the primary driver, reflecting strong revenue growth but persistent losses and cash burn; technical indicators offer modest support while valuation is constrained by negative earnings.

Positive Factors

Strong Revenue GrowthRapidly accelerating revenue indicates expanding sales activity and stronger market reach across the company’s pharmaceutical portfolio. If Zota can retain customers and improve economics, this growing base could support operating leverage, broader distribution, and stronger earnings capacity over the next several quarters.

Negative Factors

Severe Margin CompressionThe sharp deterioration in gross and net margins shows that revenue growth is not translating into economically attractive sales. Continued pricing pressure, mix changes, or cost inflation could limit operating leverage and require a substantial improvement in product economics before earnings recover.

Zota Health Care Ltd. (ZOTA) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 39.96B
Dividend Yield: 0.08%
Average Volume (3M): 101.17K
Price to Earnings (P/E): -38.8
Beta (1Y): 0.91
Revenue Growth: 68.95%
EPS Growth: -55.82%
Country: India
Employees: 635
Sector: General
Sector Strength: 55
Industry: Biotechnology

Zota Health Care Ltd. Business Overview & Revenue Model

Company Description

Zota Health Care Limited is an Indian pharmaceutical firm dedicated to the development, manufacturing, and distribution of a broad spectrum of health-related products across India. Its extensive portfolio encompasses generic medications, over-the-cou...

How the Company Makes Money

Zota Health Care Ltd. makes money primarily by selling pharmaceutical and healthcare products, with revenue recognized from the sale of finished formulations marketed under its brands and supplied through its distribution network. Key revenue streams...

Zota Health Care Ltd. Financial Statement Overview

Summary

Strong revenue growth trajectory and stable balance sheet with manageable debt levels, though challenged by negative profitability and cash burn.

Income Statement

45Neutral

Balance Sheet

65Positive

Cash Flow

35Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	6.79B	5.39B	2.93B	1.80B	1.40B	1.31B
Gross Profit	733.05M	639.06M	1.56B	803.38M	310.68M	418.86M
EBITDA	14.42M	185.40M	-36.65M	81.21M	98.05M	164.26M
Net Income	-1.13B	-739.36M	-563.98M	-143.48M	-57.73M	89.08M
Balance Sheet
Total Assets	10.94B	11.31B	4.39B	2.28B	1.58B	1.39B
Cash, Cash Equivalents and Short-Term Investments	775.50M	955.74M	36.19M	10.05M	11.15M	22.99M
Total Debt	2.71B	2.70B	1.40B	952.85M	451.22M	149.00M
Total Liabilities	4.66B	4.35B	2.12B	1.38B	777.55M	494.67M
Stockholders Equity	6.26B	6.93B	2.24B	899.77M	803.57M	896.27M
Cash Flow
Free Cash Flow	0	-1.92B	-959.42M	-226.94M	-145.05M	100.84M
Operating Cash Flow	0	-790.12M	-499.64M	-59.84M	-20.06M	133.32M
Investing Cash Flow	0	-3.22B	-956.20M	-129.03M	147.03M	-266.52M
Financing Cash Flow	0	4.93B	1.47B	187.76M	-138.81M	142.73M

Zota Health Care Ltd. Technical Analysis

Technical Analysis SentimentPositive

Last Price1297.10

Price Trends

50DMA1244.51Positive

100DMA1262.38Positive

200DMA1249.11Positive

Market Momentum

MACD0.56Negative

RSI53.23Neutral

STOCH67.51Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ZOTA, the sentiment is Positive. The current price of 1297.10 is above the 20-day moving average (MA) of 1289.93, above the 50-day MA of 1244.51, and above the 200-day MA of 1249.11, indicating a bullish trend. The MACD of 0.56 indicates Negative momentum. The RSI at 53.23 is Neutral, neither overbought nor oversold. The STOCH value of 67.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ZOTA.

Zota Health Care Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:ZOTA against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:SUPRIYA	62Neutral	INR 51.33B	29.17	―	0.16%	23.00%	-2.84%
IN:CONCORDBIO	61Neutral	INR 125.05B	44.63	―	1.26%	4.02%	-12.81%
IN:DCAL	57Neutral	INR 27.44B	40.02	―	―	-20.86%	-34.51%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:ONESOURCE	48Neutral	INR 181.41B	-10800.00	―	―	10.66%	-104.59%
IN:ZOTA	47Neutral	INR 40.16B	-38.84	―	0.08%	68.95%	-55.82%
IN:PANACEABIO	47Neutral	INR 21.72B	-311.64	―	―	10.26%	-162.02%

* General Sector Average

Performance Comparison

IN:ZOTA and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:ZOTA	Zota Health Care Ltd.	1297.10	-280.02	-17.76%
IN:CONCORDBIO	Concord Biotech Ltd.	594.50	-151.73	-20.33%
IN:DCAL	Dishman Carbogen Amcis Ltd.	173.90	-77.55	-30.84%
IN:PANACEABIO	Panacea Biotec Limited	353.80	-36.00	-9.24%
IN:SUPRIYA	Supriya Lifescience Limited	632.40	-152.82	-19.46%
IN:ONESOURCE	OneSource Specialty Pharma Limited	1613.45	-171.70	-9.62%

Zota Health Care Ltd. Corporate Events

Zota Health Care Submits Investor Presentation to NSE

Oct 28, 2026

Zota Health Care Limited has submitted an investor presentation to the National Stock Exchange of India in compliance with Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The disclosure signals the company...

Zota Health Care Affirms No Deviation in QIP Proceeds Utilisation

Oct 28, 2026

Zota Health Care Limited reported to the National Stock Exchange that there was no deviation or variation in the use of proceeds from its Qualified Institutional Placement for the quarter ended September 30, 2026. The company raised Rs. 34,999.99 lak...

Zota Health Care Outlines Tax Treatment for Proposed Final Dividend

Sep 24, 2026

Zota Health Care Ltd. has informed shareholders that its board recommended a final dividend of 10%, equivalent to Re 1 per equity share of face value Rs 10, for the financial year 2025-26, subject to approval at the upcoming Annual General Meeting. T...

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: Nov 03, 2026

Zota Health Care Ltd. AI Stock Analysis