Aarti Pharmalabs (NSE:AARTIPHARM) Earnings Yield (Joel Greenblatt) %: 4.60% (As of Mar. 2026) — 19% Below Median

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NSE:AARTIPHARM Aarti Pharmalabs Ltd NSE:AARTIPHARM
55 GF Score
Price ₹685.85
GF Value ₹615.18
Valuation Modestly Overvalued
! 3 Warning Signs
View Full Analysis

What is Aarti Pharmalabs Earnings Yield (Joel Greenblatt) %?

Aarti Pharmalabs NSE:AARTIPHARM -0.92% 55 Earnings Yield (Joel Greenblatt) % is 4.60% as of Mar. 2026, which is 19% below its 10-year median of 5.65. GuruFocus rates NSE:AARTIPHARM with a GF Score™ of 55/100 and a GF Value™ of ₹615.18 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 1,009 Drug Manufacturers companies, Aarti Pharmalabs ranks better than 57.88% on this metric.

Aarti Pharmalabs's Enterprise Value for the quarter that ended in Mar. 2026 was ₹61,112 Mil. Aarti Pharmalabs's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 was ₹2,956 Mil. Aarti Pharmalabs's Earnings Yield (Joel Greenblatt) for the quarter that ended in Mar. 2026 was 4.60%.

The historical rank and industry rank for Aarti Pharmalabs's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

NSE:AARTIPHARM' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 3.84   Med: 5.65   Max: 10.67
Current: 4.25

During the past 6 years, the highest Earnings Yield (Joel Greenblatt) of Aarti Pharmalabs was 10.67%. The lowest was 3.84%. And the median was 5.65%.

NSE:AARTIPHARM's Earnings Yield (Joel Greenblatt) % is ranked better than
57.88% of 1009 companies
in the Drug Manufacturers industry
Industry Median: 3.11 vs NSE:AARTIPHARM: 4.25

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Aarti Pharmalabs's Forward Rate of Return (Yacktman) % for the quarter that ended in Mar. 2026 was 0.00%. The Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Aarti Pharmalabs  (NSE:AARTIPHARM) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


Aarti Pharmalabs Earnings Yield (Joel Greenblatt) % Related Terms


Aarti Pharmalabs Earnings Yield (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for Aarti Pharmalabs's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Aarti Pharmalabs Earnings Yield (Joel Greenblatt) % Chart

Aarti Pharmalabs Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Earnings Yield (Joel Greenblatt) %
Get a 7-Day Free Trial 0.00 10.67 7.69 5.42 4.60

Aarti Pharmalabs Quarterly Data
Mar21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Earnings Yield (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.42 4.72 4.36 4.67 4.60

NSE:AARTIPHARM vs ZTS: Earnings Yield (Joel Greenblatt) % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Aarti Pharmalabs's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Aarti Pharmalabs Earnings Yield (Joel Greenblatt) % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Aarti Pharmalabs's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Aarti Pharmalabs's Earnings Yield (Joel Greenblatt) % falls into.


NSE:AARTIPHARM
55GF Score
Aarti Pharmalabs Ltd NSE:AARTIPHARM
Earnings Yield (Joel Greenblatt) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Aarti Pharmalabs Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

Aarti Pharmalabss Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Mar. 2026 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=2798.24/61112.4571
=4.58 %

Aarti Pharmalabs's EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was ₹2,956 Mil.


What does a Earnings Yield (Joel Greenblatt) % of 4.60% mean?
Aarti Pharmalabs (NSE:AARTIPHARM) has a Earnings Yield (Joel Greenblatt) % of 4.60% as of Mar. 2026. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on Aarti Pharmalabs and its competitors. This is 19% below median its historical median of 5.65. Over the past decade, Aarti Pharmalabs' Earnings Yield (Joel Greenblatt) % has ranged from 3.84 to 10.67. According to the industry distribution chart, Aarti Pharmalabs ranks #425 out of 1009 companies in the Drug Manufacturers industry, placing it in the top 42.1%.
Is Aarti Pharmalabs' Earnings Yield (Joel Greenblatt) % too high?
Aarti Pharmalabs' current Earnings Yield (Joel Greenblatt) % of 4.60% is 19% below median its 10-year median of 5.65. Over the past 10 years, this metric has ranged from a low of 3.84 to a high of 10.67. The Drug Manufacturers industry median Earnings Yield (Joel Greenblatt) % is 3.11. Aarti Pharmalabs' value of 4.60% is 47.9% above this industry median. Based on the distribution chart, Aarti Pharmalabs ranks #425 out of 1009 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Aarti Pharmalabs has a GF Score™ of 55/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Aarti Pharmalabs' Earnings Yield (Joel Greenblatt) % compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Aarti Pharmalabs ranks #425 out of 1009 companies for Earnings Yield (Joel Greenblatt) %. This puts Aarti Pharmalabs in the upper half of its industry. The industry median Earnings Yield (Joel Greenblatt) % is 3.11. Aarti Pharmalabs' value of 4.60% is 47.9% above this benchmark. Historically, Aarti Pharmalabs' own Earnings Yield (Joel Greenblatt) % has ranged from 3.84 to 10.67 over the past decade. While the company's 10-year median is 5.65 vs. the industry median of 3.11, Aarti Pharmalabs has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Yield (Joel Greenblatt) % for a Drug Manufacturers company?
The median Earnings Yield (Joel Greenblatt) % among Drug Manufacturers companies is 3.11, based on 1,009 companies in the industry. Companies in the top quartile (top 25%) have a Earnings Yield (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, Earnings Yield (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Aarti Pharmalabs's current Earnings Yield (Joel Greenblatt) % of 4.60% is 47.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Yield (Joel Greenblatt) % mean?
A high Earnings Yield (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on Aarti Pharmalabs and its competitors. For the Drug Manufacturers industry, the median Earnings Yield (Joel Greenblatt) % is 3.11 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aarti Pharmalabs's current Earnings Yield (Joel Greenblatt) % is 4.60%, which is 19% below median its own 10-year median of 5.65. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aarti Pharmalabs stock overvalued right now?
Based on GuruFocus' analysis, Aarti Pharmalabs (NSE:AARTIPHARM) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹615.18, compared to a current price of ₹685.85 — trading 11.5% above its estimated fair value. The current Earnings Yield (Joel Greenblatt) % is 4.60%, which is 19% below median its 10-year median of 5.65 and 47.9% above the Drug Manufacturers industry median of 3.11. Aarti Pharmalabs' overall GF Score™ is 55/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Yield (Joel Greenblatt) % calculated?
Earnings Yield (Joel Greenblatt) % is calculated from a company's financial statements. For Aarti Pharmalabs (NSE:AARTIPHARM), the current Earnings Yield (Joel Greenblatt) % is 4.60% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Aarti Pharmalabs (NSE:AARTIPHARM) Overvalued in 2026?

Based on GuruFocus' analysis, Aarti Pharmalabs stock appears to be overvalued. The current stock price of ₹685.85 is trading 11.5% above its estimated GF Value™ of ₹615.18. GuruFocus considers Aarti Pharmalabs to be Modestly Overvalued.

Key valuation signals for NSE:AARTIPHARM:

  • Earnings Yield (Joel Greenblatt) %: 4.60% (19% below median its 10-year median of 5.65)
  • GF Value™: ₹615.18 vs. price of ₹685.85 (11.5% above fair value)
  • GF Score™: 55/100 with 3 warning signs
  • Industry Position: 47.9% above the Drug Manufacturers median (#425 of 1009)

No single metric tells the full story. See the NSE:AARTIPHARM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Aarti Pharmalabs Business Description

Other Exchanges 543748:India
Address Mulund Goregaon Link Road, 204, 2nd Floor, Udyog Kshetra, Mulund West, Mumbai, MH, IND, 400080
Aarti Pharmalabs Ltd manufactures pharmaceuticals and nutraceuticals with a footprint. The company manufactures Active Pharmaceutical Ingredients (API), pharmaceutical intermediates, acids, and xanthine derivatives, including caffeine, theophylline anhydrous, aminophylline, etophylline, and theophylline in India. It also offers Contract Development and Manufacturing Services (CDMS) for drug substance (NCE, RSM, Intermediates) projects. Geographically, the company generates maximum revenue from its customers located outside India.
55GF Score

Get the complete analysis for NSE:AARTIPHARM

Earnings Yield (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹685.85
Price
₹615.18
GF Value