Dr Lal Pathlabs Ltd logo

Dr Lal Pathlabs Ltd

LALPATHLAB NSE

Dr. Lal PathLabs Limited is one of India’s leading consumer healthcare brand in diagnostic services. It has an integrated nationwide network, where patients and healthcare providers are offered a broad range of diagnostic and related healthcare tests and services for use in: core testing, patient diagnosis and the prevention, monitoring and treatment of disease and other health conditions. The services of DLPL are aimed at individual patients, hospitals and other healthcare providers and corporates. [1]

AI Verdict: HOLD Confidence: 6%

Dr Lal Pathlabs is a high-quality, debt-free diagnostics franchise with consistent 22-23% ROE, but the stock trades at a demanding 54.6x PE and 10.9x book value with only 11-12% sales growth, limiting near-term upside. With 84% analyst buy ratings, the market expects execution to justify the premium, making it a hold at current levels for new entrants.

Key Fundamentals

SmallcapHealthcare Service ProviderHealthcare Services
Market Cap
₹28,228 Cr
Volatility
Moderate
P/E Ratio
56.06
EBITDA
₹752 Cr
Return on Equity
19.22%
Debt to Equity
0.1
Book Value
₹149.62
EPS
₹45.65
52W High
₹1,803
52W Low
₹1,272.6

Technical Indicators

Key Insights

Strengths

1
  • Company is almost debt free.

Weaknesses

2
  • Stock is trading at 11.1 times its book value
  • The company has delivered a poor sales growth of 11.8% over past five years.

Growth Rate

Revenue Growth
8.15% ↗
Net Income Growth
3.58% ↘
Cash Flow Change
6.27% ↗
ROE
16.08% ↘
ROCE
4.10% ↘
EBITDA Margin (Avg.)
-14.93% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 3d ago
HOLD
Risk medium

Dr Lal Pathlabs is a high-quality, debt-free diagnostics franchise with consistent 22-23% ROE, but the stock trades at a demanding 54.6x PE and 10.9x book value with only 11-12% sales growth, limiting near-term upside. With 84% analyst buy ratings, the market expects execution to justify the premium, making it a hold at current levels for new entrants.

Bull Case 8
  • Company is virtually debt-free, providing financial resilience and flexibility for expansion without balance sheet stress
  • Consistent ROE of 22-23% over 3, 5, and 10-year periods demonstrates durable capital efficiency and strong moat in diagnostics
  • 84% of 25 analysts rate the stock a Buy, reflecting broad institutional confidence in the business model
  • Compounded sales CAGR of 13% over 10 years shows steady long-term revenue compounding in a secular growth sector
  • Compounded profit CAGR of 30% over 3 years indicates significant margin expansion and operating leverage post-COVID
  • 10-year stock CAGR of 15% has delivered meaningful long-term wealth creation for patient investors
  • Dividend yield of 1.23% provides a modest income stream, unusual for a growth-oriented healthcare company
  • Market cap of Rs 27,958 crore positions it as a large-cap diagnostics leader with institutional liquidity
Bear Case 8
  • PE ratio of 54.6x is significantly elevated versus broader market and leaves no room for execution misses
  • Price-to-book of 10.9x means investors are paying a steep premium over tangible asset value
  • 5-year sales CAGR of only 11-12% is modest for a stock commanding a 54.6x earnings multiple
  • TTM profit growth of just 8% represents a sharp deceleration from the 30% 3-year CAGR, suggesting normalization post-COVID
  • 5-year stock CAGR of only 1% indicates prolonged period of no returns as valuation mean-reverted
  • Only 12% of analysts rate it a Sell, but the 3 sell ratings at these valuations signal downside risk is not negligible
  • TTM sales growth of 12% barely matches the 5-year average, showing no acceleration in topline momentum
  • Increasing competition from Metropolis, Thyrocare, and new-age players like PharmEasy diagnostics pressures pricing power in a 11-12% growth market

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 14h ago
Headwinds 2
  • Q4 net profit declined 15.2% YoY Jun 12

    Net profit fell 15.2% YoY to ₹131.3 crore in Q4 FY26 despite 16.6% revenue growth to ₹702.7 crore, indicating margin pressure.

  • No near-term price hikes planned Jun 12

    CEO Shankha Banerjee confirmed no plans to raise prices despite cost pressures, limiting near-term margin expansion levers amid domestic price wars.

Positives 4
  • UAE subsidiary for GCC expansion Jun 12

    Incorporated DR LAL PATHLABS FZCO in Dubai on June 12, 2026 with AED 1.91 crore (₹4.35 crore) investment to pursue diagnostics acquisitions and joint ventures in the Middle East.

  • Strong FY26 revenue growth at 12.2% Jun 12

    FY26 volume growth was 5.2% with 12.2% revenue growth; Q4 FY26 saw 12% patient volume rise and 14% net profit growth sequentially.

  • FY27 guidance of 13-15% revenue growth Jun 12

    Management expects 13-15% revenue growth in FY27 driven by volumes, with EBITDA margins guided at 27-28%.

  • Genomics portfolio expanded to 15 cities Jun 12

    Recently expanded Gen-Next genomics testing portfolio to 15 additional cities in India, broadening high-value test offerings.

Neutral 1
  • ₹20.56 crore block trade on NSE May 26

    Approximately 1,26,673 shares traded in a block deal at ₹1,622.90 per share on NSE, totaling ₹20.56 crore, suggesting institutional rebalancing.

TL;DR: Dr Lal PathLabs is executing well on volume-led growth with 12.2% FY26 revenue expansion and guided 13-15% for FY27, while its Dubai subsidiary signals a strategic push into the high-margin GCC diagnostics market. Key risks include margin compression visible in the Q4 YoY profit decline and inability to take price hikes amid domestic competition. The trend is cautiously improving as international diversification and genomics expansion offer new growth vectors, though near-term profitability may remain under pressure.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
491
541
601
539
545
602
660
597
603
670
731
660
703
Expenses
375
395
424
398
401
432
458
443
434
478
506
480
516
Operating Profit
116
146
178
141
145
170
202
154
169
192
224
179
187
OPM %
24%
27%
30%
26%
27%
28%
31%
26%
28%
29%
31%
27%
27%
Other Income
14
14
18
18
18
21
22
25
26
28
25
-6
24
Interest
9
8
8
7
7
6
6
5
5
5
5
7
6
Depreciation
38
35
36
36
37
35
35
36
36
35
40
42
45
PBT
83
118
152
116
120
150
183
138
153
181
204
124
160
Tax %
32%
29%
27%
29%
28%
28%
29%
29%
-1%
26%
25%
26%
17%
Net Profit
57
84
111
82
86
108
131
98
156
134
152
91
132
EPS in Rs
3.4
4.95
6.55
4.87
5.06
6.37
7.73
5.78
9.26
7.9
8.99
5.4
7.84
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
660
791
912
1,057
1,203
1,330
1,581
2,087
2,017
2,227
2,461
2,763
Expenses
504
582
675
793
910
987
1,145
1,526
1,527
1,617
1,764
1,980
Operating Profit
156
210
238
264
294
344
436
561
490
609
698
782
OPM %
24%
26%
26%
25%
24%
26%
28%
27%
24%
27%
28%
28%
Other Income
12
20
27
31
46
55
51
52
42
69
91
71
Interest
0
0
1
1
1
15
16
30
38
29
22
23
Depreciation
28
28
28
33
38
73
77
108
150
144
142
162
PBT
140
201
237
261
301
310
394
475
344
505
625
669
Tax %
31%
34%
34%
34%
33%
27%
25%
26%
30%
28%
21%
24%
Net Profit
96
133
156
172
200
228
296
350
241
362
492
510
EPS in Rs
8.75
7.99
9.31
10.24
11.95
13.55
17.49
20.69
14.33
21.42
29.14
30.13
Div. Payout %
9%
15%
16%
22%
25%
44%
57%
29%
42%
0%
0%
81%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
55
83
83
83
83
83
83
83
83
83
84
168
Reserves
260
425
512
705
862
949
1,162
1,418
1,583
1,766
2,089
2,341
Borrowings
27
0
0
0
0
0
150
533
420
247
157
199
Other Liabilities
134
118
95
128
145
341
265
309
297
357
383
439
Total Liabilities
475
625
690
916
1,091
1,374
1,661
2,343
2,383
2,454
2,713
3,146
Fixed Assets
150
166
152
208
209
413
447
1,369
1,305
1,228
1,168
1,257
CWIP
1
4
18
10
3
11
10
15
5
6
3
6
Investments
38
64
106
145
185
164
59
65
150
114
327
423
Other Assets
286
391
414
554
694
786
1,144
893
923
1,107
1,215
1,461
Total Assets
475
625
690
916
1,091
1,374
1,661
2,343
2,383
2,454
2,713
3,146
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
122
159
171
197
219
284
398
447
456
535
569
636
Investing
-113
-163
-137
-172
-100
-26
-212
-449
-287
-24
-303
-422
Financing
-1
0
-32
13
-55
-190
-139
136
-283
-414
-334
-264
Net Cash Flow
8
-5
2
37
64
67
48
134
-114
97
-68
-50
Free Cash Flow
87
115
120
125
177
205
339
-28
412
479
516
463
CFO/OP
112
108
102
110
110
110
115
103
115
110
105
104
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
17
17
17
14
16
14
15
15
13
13
13
15
Inventory Days
37
31
33
44
40
70
39
38
28
30
27
30
Days Payable
90
89
97
106
111
144
132
107
127
151
151
123
Cash Conversion Cycle
-35
-42
-47
-47
-55
-60
-78
-54
-87
-108
-110
-79
Working Capital Days
-9
27
19
17
0
-19
-26
-54
-56
-46
-30
27
ROCE %
48%
47%
43%
38%
35%
32%
33%
29%
18%
25%
29%
28%

Shareholding Pattern

As of Mar 2026
Promoters 53.21%
DIIs 21.38%
FIIs 17.18%
Public 6.54%
Others 1.67%
Government 0.01%
Total 99.99%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
55.23%
55.23%
55.23%
55.23%
55.23%
55.05%
55.05%
55.05%
55.03%
55.01%
54.61%
54.60%
54.60%
54.60%
53.92%
53.91%
53.91%
53.79%
53.21%
53.21%
53.21%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
2.00%
1.83%
0.00%
0.00%
0.00%
26.15%
25.42%
26.82%
26.82%
23.91%
21.68%
21.86%
20.29%
17.18%
DIIs
6.47%
5.61%
4.84%
5.58%
5.69%
5.30%
5.09%
6.19%
6.55%
7.33%
7.97%
8.61%
9.69%
12.71%
12.89%
13.17%
16.08%
17.91%
18.49%
19.21%
21.38%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.01%
0.01%
Public
5.70%
6.24%
6.93%
7.45%
9.03%
10.44%
8.24%
9.03%
9.50%
9.31%
8.37%
7.26%
6.47%
4.91%
4.10%
4.01%
4.11%
5.23%
5.19%
5.82%
6.54%
Others
32.60%
32.92%
32.99%
31.74%
30.05%
29.22%
31.63%
27.73%
27.09%
28.35%
29.05%
29.53%
3.09%
2.35%
2.27%
2.10%
2.00%
1.38%
1.25%
1.47%
1.67%
No. of Shareholders
68,845
94,123
1,25,953
1,35,068
1,71,846
1,84,508
1,71,602
1,79,636
1,80,163
1,74,444
1,60,679
1,49,901
1,46,741
1,31,189
1,16,606
1,16,236
1,15,699
1,18,656
1,12,703
1,14,385
1,14,527

Documents

Frequently Asked Questions about Dr Lal Pathlabs Ltd

What does Dr Lal Pathlabs Ltd do?
Dr. Lal PathLabs Limited is one of India’s leading consumer healthcare brand in diagnostic services. It has an integrated nationwide network, where patients and healthcare providers are offered a broad range of diagnostic and related healthcare tests and services for use in: core testing, patient...
Where is Dr Lal Pathlabs Ltd (LALPATHLAB) listed?
Dr Lal Pathlabs Ltd is listed on the Indian stock exchanges. It is listed on NSE: LALPATHLAB and BSE: 539524. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Dr Lal Pathlabs Ltd belong to?
Dr Lal Pathlabs Ltd operates in the Healthcare sector within the Healthcare Services industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Dr Lal Pathlabs Ltd?
Dr Lal Pathlabs Ltd has a market capitalisation of approximately ₹28227.99 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Dr Lal Pathlabs Ltd?
The Price-to-Earnings (PE) ratio of Dr Lal Pathlabs Ltd is 56.06. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Dr Lal Pathlabs Ltd?
Over the past 52 weeks, Dr Lal Pathlabs Ltd has traded between a low of ₹1,272.6 and a high of ₹1,803. This range helps investors understand the stock's price volatility and recent trading levels.
Does Dr Lal Pathlabs Ltd pay dividends?
Yes, Dr Lal Pathlabs Ltd has a dividend yield of 1.24%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Dr Lal Pathlabs Ltd?
Dr Lal Pathlabs Ltd has a Return on Equity (ROE) of 19.22%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Dr Lal Pathlabs Ltd on Tapetide?
On Tapetide, you can view Dr Lal Pathlabs Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Dr. Lal PathLabs Limited is one of India’s leading consumer healthcare brand in diagnostic services. It has an integrated nationwide network, where patients and healthcare providers are offered a broad range of diagnostic and related healthcare tests and services for use in: core testing, patient diagnosis and the prevention, monitoring and treatment of disease and other health conditions. The services of DLPL are aimed at individual patients, hospitals and other healthcare providers and corporates. [1]

Website lalpathlabs.com
Listed 2015-12-23
Face Value ₹ 10
Issued Size 16,75,51,020

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