Dr Reddy's Laboratories (FRA:RDDA) 3-Year EBITDA Growth Rate: 2.00% (As of Jun. 2026) — 81% Below Median

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FRA:RDDA Dr Reddy's Laboratories Ltd FRA:RDDA
83 GF Score
Price €10.10
GF Value €12.03
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Dr Reddy's Laboratories 3-Year EBITDA Growth Rate?

Dr Reddy's Laboratories FRA:RDDA 83 3-Year EBITDA Growth Rate is 2.00% as of Jun. 2026, which is 81% below its 10-year median of 10.50. GuruFocus rates FRA:RDDA with a GF Score™ of 83/100 and a GF Value™ of €12.03 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 804 Drug Manufacturers companies, Dr Reddy's Laboratories ranks worse than 63.43% on this metric.

Dr Reddy's Laboratories's EBITDA per Share for the three months ended in Jun. 2026 was €0.13.

During the past 12 months, Dr Reddy's Laboratories's average EBITDA Per Share Growth Rate was -32.00% per year. During the past 3 years, the average EBITDA Per Share Growth Rate was 2.00% per year. During the past 5 years, the average EBITDA Per Share Growth Rate was 18.10% per year. During the past 10 years, the average EBITDA Per Share Growth Rate was 13.90% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average EBITDA per share growth rate.

During the past 13 years, the highest 3-Year average EBITDA Per Share Growth Rate of Dr Reddy's Laboratories was 154.50% per year. The lowest was -44.70% per year. And the median was 10.50% per year.


Dr Reddy's Laboratories  (FRA:RDDA) 3-Year EBITDA Growth Rate Explanation

EBITDA per Share is the amount of Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) per outstanding share of the company's stock.

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is what the company earns before it expenses interest, taxes, depreciation and amortization.


Dr Reddy's Laboratories 3-Year EBITDA Growth Rate Related Terms


FRA:RDDA vs ZTS: 3-Year EBITDA Growth Rate Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Dr Reddy's Laboratories's 3-Year EBITDA Growth Rate, along with its competitors' market caps and 3-Year EBITDA Growth Rate 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.


Dr Reddy's Laboratories 3-Year EBITDA Growth Rate vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Dr Reddy's Laboratories's 3-Year EBITDA Growth Rate distribution charts can be found below:

* The bar in red indicates where Dr Reddy's Laboratories's 3-Year EBITDA Growth Rate falls into.


FRA:RDDA
83GF Score
Dr Reddy's Laboratories Ltd FRA:RDDA
3-Year EBITDA Growth Rate is just one metric. See GF Score™, valuation, warning signs, and more.
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Dr Reddy's Laboratories 3-Year EBITDA Growth Rate Calculation

This is the 3-year average growth rate of EBITDA per Share. The growth rate is calculated using exponential compounding based on the latest four year annual data.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average EBITDA per share growth rate.

What does a 3-Year EBITDA Growth Rate of 2.00% mean?
Dr Reddy's Laboratories (FRA:RDDA) has a 3-Year EBITDA Growth Rate of 2.00% as of Jun. 2026. 3-Year EBITDA Growth Rate is the 3-year average growth rate of EBITDA per share. View historical data for Dr Reddy's Laboratories and its competitors. This is 81% below median its historical median of 10.50. According to the industry distribution chart, Dr Reddy's Laboratories ranks #510 out of 804 companies in the Drug Manufacturers industry, placing it in the top 63.4%.
Is Dr Reddy's Laboratories' 3-Year EBITDA Growth Rate too high?
Dr Reddy's Laboratories' current 3-Year EBITDA Growth Rate of 2.00% is 81% below median its 10-year median of 10.50. The Drug Manufacturers industry median 3-Year EBITDA Growth Rate is 8.90. Dr Reddy's Laboratories' value of 2.00% is 77.5% below this industry median. Based on the distribution chart, Dr Reddy's Laboratories ranks #510 out of 804 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Dr Reddy's Laboratories has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dr Reddy's Laboratories' 3-Year EBITDA Growth Rate compare to ZTS?
According to the Drug Manufacturers industry distribution chart, Dr Reddy's Laboratories ranks #510 out of 804 companies for 3-Year EBITDA Growth Rate. This places Dr Reddy's Laboratories in the lower half of its industry. The industry median 3-Year EBITDA Growth Rate is 8.90. Dr Reddy's Laboratories' value of 2.00% is 77.5% below this benchmark. While the company's 10-year median is 10.50 vs. the industry median of 8.90, Dr Reddy's Laboratories has consistently been below 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 3-Year EBITDA Growth Rate for a Drug Manufacturers company?
The median 3-Year EBITDA Growth Rate among Drug Manufacturers companies is 8.90, based on 804 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year EBITDA Growth Rate significantly above this median, while those in the bottom quartile fall well below. However, 3-Year EBITDA Growth Rate should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dr Reddy's Laboratories's current 3-Year EBITDA Growth Rate of 2.00% is 77.5% below 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 3-Year EBITDA Growth Rate mean?
A high 3-Year EBITDA Growth Rate can signal that a stock is expensive relative to its fundamentals. 3-Year EBITDA Growth Rate is the 3-year average growth rate of EBITDA per share. View historical data for Dr Reddy's Laboratories and its competitors. For the Drug Manufacturers industry, the median 3-Year EBITDA Growth Rate is 8.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dr Reddy's Laboratories's current 3-Year EBITDA Growth Rate is 2.00%, which is 81% below median its own 10-year median of 10.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dr Reddy's Laboratories stock overvalued right now?
Based on GuruFocus' analysis, Dr Reddy's Laboratories (FRA:RDDA) is currently considered Modestly Undervalued. The stock's GF Value™ is €12.03, compared to a current price of €10.10 — trading 16% below its estimated fair value. The current 3-Year EBITDA Growth Rate is 2.00%, which is 81% below median its 10-year median of 10.50 and 77.5% below the Drug Manufacturers industry median of 8.90. Dr Reddy's Laboratories' overall GF Score™ is 83/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year EBITDA Growth Rate calculated?
3-Year EBITDA Growth Rate is calculated from a company's financial statements. For Dr Reddy's Laboratories (FRA:RDDA), the current 3-Year EBITDA Growth Rate is 2.00% as of Jun. 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 Dr Reddy's Laboratories (FRA:RDDA) Overvalued in 2026?

Based on GuruFocus' analysis, Dr Reddy's Laboratories stock appears to be undervalued. The current stock price of €10.10 is trading 16% below its estimated GF Value™ of €12.03. GuruFocus considers Dr Reddy's Laboratories to be Modestly Undervalued.

Key valuation signals for FRA:RDDA:

  • 3-Year EBITDA Growth Rate: 2.00% (81% below median its 10-year median of 10.50)
  • GF Value™: €12.03 vs. price of €10.10 (16% below fair value)
  • GF Score™: 83/100 with 4 warning signs
  • Industry Position: 77.5% below the Drug Manufacturers median (#510 of 804)

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


Dr Reddy's Laboratories Business Description

Address 8-2-337, Road No. 3, Banjara Hills, Hyderabad, TG, IND, 500 034
Dr. Reddy's is one of the largest generic drug manufacturers in the world. It has a significant presence in North America, a region that makes up roughly 40% of its generics sales, with other key markets being India (20%) and Europe (20%). Beyond simple generics, Dr. Reddy's also has a solid portfolio of injectables which make up 25% of its North America sales. In branded generic markets like India, Dr. Reddy's has established a compelling presence with its strong brand name and earned a top five spot in key therapeutic areas including oncology and gastroenterology. Dr. Reddy's also has an active pharmaceutical ingredient business that manufactures over 150 APIs and sells in over 75 countries.
83GF Score

Get the complete analysis for FRA:RDDA

3-Year EBITDA Growth Rate is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€10.10
Price
€12.03
GF Value