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Lyka LabsBOM:500259 -0.71%51 Altman Z-Score is 2.44 as of Jul. 16, 2026, which is 270% above its 10-year median of 0.66. GuruFocus rates BOM:500259 with a GF Score™ of 51/100 and a GF Value™ of ₹127.34 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 928 Biotechnology companies, Lyka Labs ranks worse than 50.75% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Warning Sign:
Altman Z-score of 2.51 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.
Lyka Labs has a Altman Z-Score of 2.44, indicating it is in Grey Zones. This implies that Lyka Labs is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Lyka Labs's Altman Z-Score or its related term are showing as below:
BOM:500259'
s Altman Z-Score Range Over the Past 10 Years
Min: -1.19 Med: 0.66 Max: 3.12
Current: 2.51
During the past 13 years, Lyka Labs's highest Altman Z-Score was 3.12. The lowest was -1.19. And the median was 0.66.
Lyka Labs (BOM:500259) Altman Z-Score Explanation
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
Altman Z-Score does not apply to financial companies.
Lyka Labs Altman Z-Score Related Terms
Lyka Labs Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Lyka Labs's Altman Z-Score 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.
BOM:500259 vs VRTX, REGN, ALNY: Altman Z-Score Comparison
For the Biotechnology subindustry, Lyka Labs's Altman Z-Score, along with its competitors' market caps and Altman Z-Score 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.
Lyka Labs Altman Z-Score vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Lyka Labs's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Lyka Labs's Altman Z-Score falls into.
Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
Lyka Labs's Altman Z-Score for today is calculated with this formula:
Z
=
1.2
*
X1
+
1.4
*
X2
+
3.3
*
X3
+
0.6
*
X4
+
1.0
*
X5
=
1.2
*
0.0537
+
1.4
*
0
+
3.3
*
-0.0494
+
0.6
*
3.0017
+
1.0
*
0.7359
=
2.44
* 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. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Lyka Labs (BOM:500259) has a Altman Z-Score of 2.44 as of Jul. 16, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Lyka Labs and its competitors. This is 270% above median its historical median of 0.66. According to the industry distribution chart, Lyka Labs ranks #471 out of 928 companies in the Biotechnology industry, placing it in the top 50.8%.
Is Lyka Labs' Altman Z-Score too high?
Lyka Labs' current Altman Z-Score of 2.44 is 270% above median its 10-year median of 0.66. The Biotechnology industry median Altman Z-Score is 2.63. Lyka Labs' value of 2.44 is 7% below this industry median. Based on the distribution chart, Lyka Labs ranks #471 out of 928 companies in the Biotechnology industry, which is below the industry midpoint. Overall, Lyka Labs has a GF Score™ of 51/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lyka Labs' Altman Z-Score compare to VRTX and REGN?
According to the Biotechnology industry distribution chart, Lyka Labs ranks #471 out of 928 companies for Altman Z-Score. This places Lyka Labs in the lower half of its industry. The industry median Altman Z-Score is 2.63. Lyka Labs' value of 2.44 is 7% below this benchmark. While the company's 10-year median is 0.66 vs. the industry median of 2.63, Lyka Labs 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 Altman Z-Score for a Biotechnology company?
The median Altman Z-Score among Biotechnology companies is 2.63, based on 928 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lyka Labs's current Altman Z-Score of 2.44 is 7% 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 Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Lyka Labs and its competitors. For the Biotechnology industry, the median Altman Z-Score is 2.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lyka Labs's current Altman Z-Score is 2.44, which is 270% above median its own 10-year median of 0.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lyka Labs stock overvalued right now?
Based on GuruFocus' analysis, Lyka Labs (BOM:500259) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹127.34, compared to a current price of ₹69.50 — trading 45.4% below its estimated fair value. The current Altman Z-Score is 2.44, which is 270% above median its 10-year median of 0.66 and 7% below the Biotechnology industry median of 2.63. Lyka Labs' overall GF Score™ is 51/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Lyka Labs (BOM:500259), the current Altman Z-Score is 2.44 as of Jul. 16, 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 Lyka Labs (BOM:500259) Overvalued in 2026?
Based on GuruFocus' analysis, Lyka Labs stock appears to be undervalued.
The current stock price of ₹69.50 is trading 45.4% below its estimated GF Value™ of ₹127.34.
GuruFocus considers Lyka Labs to be Significantly Undervalued.
Key valuation signals for BOM:500259:
Altman Z-Score: 2.44 (270% above median its 10-year median of 0.66)
GF Value™: ₹127.34 vs. price of ₹69.50 (45.4% below fair value)
Industry Position: 7% below the Biotechnology median (#471 of 928)
No single metric tells the full story. See the BOM:500259 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lyka Labs Ltd is an Indian biotechnology company. It mainly engages in the development of specialized formulations. The Company is engaged in only one segment which is pharmaceuticals. The Company has a presence in Domestic as well as International markets. The commercialized formulations of the company consist of hair care, anti-aging, acne management, skin lightening, face washes, sunscreens, facial scrubs, and others. It has developed a varied drug delivery system for topical steroids, painkillers, anti-fungal, and other emollients as well as liquid injectables, lyophilized injectables in the anti-bacterial, antifungal segment. The company also manufactures proton pump inhibitors, antibiotics, antifungals, steroids, etc. The majority of the company's revenue comes from India.
51GF Score
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