FCF Yield % is calculated as Free Cash Flow divided by Market Capitalization. It is a financial solvency ratio that compares the free cash flow a company is expected to earn against its market value.
Similar to Earnings Yield %, FCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high free cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
Laurus Labs FCF Yield % Related Terms
Laurus Labs FCF Yield % Historical Data
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The historical data trend for Laurus Labs's FCF Yield % 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.
For the Drug Manufacturers - Specialty & Generic subindustry, Laurus Labs's FCF Yield %, along with its competitors' market caps and FCF Yield % 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.
Laurus Labs FCF Yield % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Laurus Labs's FCF Yield % distribution charts can be found below:
* The bar in red indicates where Laurus Labs's FCF Yield % falls into.
* 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.
Laurus Labs (BOM:540222) has a FCF Yield % of 0.69 as of Jul. 08, 2026. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Laurus Labs and its competitors. According to the industry distribution chart, Laurus Labs ranks #503 out of 1007 companies in the Drug Manufacturers industry, placing it in the top 50%.
Is Laurus Labs' FCF Yield % too high?
Laurus Labs' current FCF Yield % is 0.69. The Drug Manufacturers industry median FCF Yield % is 0.67. Laurus Labs' value of 0.69 is 3% above this industry median. Based on the distribution chart, Laurus Labs ranks #503 out of 1007 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Laurus Labs has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Laurus Labs' FCF Yield % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Laurus Labs ranks #503 out of 1007 companies for FCF Yield %. This puts Laurus Labs in the upper half of its industry. The industry median FCF Yield % is 0.67. Laurus Labs' value of 0.69 is 3% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Yield % for a Drug Manufacturers company?
The median FCF Yield % among Drug Manufacturers companies is 0.67, based on 1,007 companies in the industry. Companies in the top quartile (top 25%) have a FCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, FCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Laurus Labs's current FCF Yield % of 0.69 is 3% 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 FCF Yield % mean?
A high FCF Yield % can signal that a stock is expensive relative to its fundamentals. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on Laurus Labs and its competitors. For the Drug Manufacturers industry, the median FCF Yield % is 0.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Laurus Labs's current FCF Yield % is 0.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Laurus Labs stock overvalued right now?
Based on GuruFocus' analysis, Laurus Labs (BOM:540222) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹702.44, compared to a current price of ₹1,476.80 — trading 110.2% above its estimated fair value. The current FCF Yield % is 0.69 and 3% above the Drug Manufacturers industry median of 0.67. Laurus Labs' overall GF Score™ is 71/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Yield % calculated?
FCF Yield % is calculated from a company's financial statements. For Laurus Labs (BOM:540222), the current FCF Yield % is 0.69 as of Jul. 08, 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 Laurus Labs (BOM:540222) Overvalued in 2026?
Based on GuruFocus' analysis, Laurus Labs stock appears to be overvalued.
The current stock price of ₹1,476.80 is trading 110.2% above its estimated GF Value™ of ₹702.44.
GuruFocus considers Laurus Labs to be Significantly Overvalued.
Key valuation signals for BOM:540222:
FCF Yield %: 0.69
GF Value™: ₹702.44 vs. price of ₹1,476.80 (110.2% above fair value)
Industry Position: 3% above the Drug Manufacturers median (#503 of 1007)
No single metric tells the full story. See the BOM:540222 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Laurus Labs Ltd is a pharmaceutical company based in India. It provides active pharmaceutical ingredients (API) including intermediates, Generic Finished dosage forms (FDF), and Contract Research services. The entity develops APIs and intermediates for select, high-growth antiretrovirals, Hepatitis C and Oncology. It also manufactures APIs in other therapeutic areas, such as anti-asthma, ophthalmology, anti-diabetics, cardiovascular, and proton pump inhibitors, among others. The company has its business presence in India and Outside India of which it derives a majority of revenue from Outside India. The company generates revenue from the sale of API, Intermediates and Formulations, Contract research services, and others.
71GF Score
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FCF Yield % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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