Biocon stock analysis and expert insights in detail

Stock overview

Ticker	BIOCON
Sector	Pharmaceuticals
Market Cap	₹ 42,000 Cr
CMP (Current Market Price)	₹ 350
52-Week High/Low	₹ 405/291
Beta	1.1 (Low volatility)

About Biocon India Ltd.

Biocon Ltd. is one of India’s leading biopharmaceutical companies specializing in biologics, biosimilars, and novel molecules. With a strong global presence and strategic alliances, Biocon is striving to address the growing demand for affordable and innovative biopharma solutions.

Primary growth factors for Biocon India Ltd

1. Strong Biosimilar Portfolio

• Portfolio includes biosimilars for insulin, trastuzumab, bevacizumab, and pegfilgrastim
• Collaborations with Viatris, Sandoz boosting global reach

2. Syngene International – A Growth Engine
   • Strong pipeline in CRAMS and contract research
   • Steady client addition in global pharma and biotech firms
3. Global Expansion Strategy
   • Increasing penetration in the US, Europe, and emerging markets
   • Regulatory approvals in over 70 countries
4. Focus on Innovation
   • Strategic investments in novel biologics and immunotherapies
   • Key launches expected over next 2-3 years
5. China Opportunity
   • Expansion into China through local partnerships
   • High unmet demand for biosimilars

Q4 FY25 financial performance

Metric	Q4 FY 25	YoY Growth	QoQ Growth
Revenue from operations	₹ 4,417 cr	15%	16%
Core EBITDA	₹ 1,363 cr	16%	35%
R&D	₹ 231 cr	-6%	16%
PAT	₹ 333 cr	139%	238%

Biocon has delivered good results in Q4 FY 25. There has been a healthy growth in both revenue and profitability on a YoY basis.

Biocon also intends to raise 4500 cr through QIP in an attempt to aid business growth. This is likely to hold them steady in the near future, once these plans come to fruition.

Detailed competition analysis for Biocon India

Company	Market Cap	Revenue	P/E Multiple	RoCE
Biocon	₹ 42,000 cr	₹ 4,417 cr	44 x	6%
Sun Pharma	₹ 3,94,000 cr	₹ 12,958 cr	34 x	20%
Divis Lab	₹ 1,73,000 cr	₹ 2,585 cr	79 x	20%
Cipla	₹ 1,20,000 cr	₹ 6,729 cr	22 x	23%

• Biocon trades at a discount to large-cap pharma despite strong biosimilar presence
• Stronger profitability and scale will narrow the valuation gap

Company valuation insights: Biocon India

As per the Discounted Cash Flow analysis:

It estimates the intrinsic value of Biocon shares based on expected future cash flows:

• Intrinsic Value Estimate: ₹400 per share
• Upside Potential: 15%
• WACC: 11.6%
• Terminal Growth Rate: 3.1%

Major risk factors affecting Biocon India

• Regulatory Delays: Delay in approvals may impact key biosimilar launches
• Currency Volatility: Global operations expose Biocon to forex risks
• Competitive Pricing: Price erosion in biosimilars may pressure margins
• Execution Risk: Scaling biologics business profitably remains a challenge

Technical analysis of Biocon India

• Resistance: ₹360
• Support: ₹ 330
• Momentum: Bullish
• RSI (Relative Strength Index): 46 (Neutral)
• 50-Day Moving Average: ₹347
• 200-Day Moving Average: ₹339
• MACD: Positive crossover; bullish divergence

Technically bullish with potential for breakout above ₹365

Biocon India stock recommendation by Ketan Mittal

Recommendation: Buy on dips / Long-term accumulate

Target Price: ₹375 (6-month horizon); ₹400 (12-month horizon); 

Investment Horizon: 2–4 years for stable returns

Rationale

Recommend a Buy on Dips / Accumulate approach for Biocon.

Recommendation

Accumulate / Buy on Dips

Global leadership in biosimilars

Strong growth from Syngene & Biologics

Healthy pipeline and new market entries

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Conclusion

Biocon remains a compelling pick in the Indian biotech space, driven by strong global alliances, a rich pipeline, and consistent performance across biologics and research services. The stock offers a good balance of growth, value, and innovation-driven upside potential.