Piramal PharmaNSE:PPLPHARMA -1.49%58 Altman Z-Score is 2.16 as of Jul. 07, 2026, which is 7% above its 10-year median of 2.01. GuruFocus rates NSE:PPLPHARMA with a GF Score™ of 58/100 and a GF Value™ of ₹174.09 (Fairly Valued). The stock has 5 warning signs investors should review. Among 952 Drug Manufacturers companies, Piramal Pharma ranks worse than 67.54% 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 2.19 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.
Piramal Pharma has a Altman Z-Score of 2.16, indicating it is in Grey Zones. This implies that Piramal Pharma 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 Piramal Pharma's Altman Z-Score or its related term are showing as below:
NSE:PPLPHARMA'
s Altman Z-Score Range Over the Past 10 Years
Min: 1.25 Med: 2.01 Max: 3.37
Current: 2.19
During the past 6 years, Piramal Pharma's highest Altman Z-Score was 3.37. The lowest was 1.25. And the median was 2.01.
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.
Piramal Pharma Altman Z-Score Related Terms
Piramal Pharma Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Piramal Pharma'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.
NSE:PPLPHARMA vs ZTS, UTHR: Altman Z-Score Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Piramal Pharma'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.
Piramal Pharma Altman Z-Score vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Piramal Pharma's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Piramal Pharma'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.
Piramal Pharma'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
*
0.1355
+
1.4
*
0.0385
+
3.3
*
0.0092
+
0.6
*
2.3701
+
1.0
*
0.4937
=
2.16
* 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.
Piramal Pharma (NSE:PPLPHARMA) has a Altman Z-Score of 2.16 as of Jul. 07, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Piramal Pharma and its competitors. This is near median its historical median of 2.01. Over the past decade, Piramal Pharma's Altman Z-Score has ranged from 1.25 to 3.37. According to the industry distribution chart, Piramal Pharma ranks #643 out of 952 companies in the Drug Manufacturers industry, placing it in the top 67.5%.
Is Piramal Pharma's Altman Z-Score too high?
Piramal Pharma's current Altman Z-Score of 2.16 is near median its 10-year median of 2.01. Over the past 10 years, this metric has ranged from a low of 1.25 to a high of 3.37. The Drug Manufacturers industry median Altman Z-Score is 3.29. Piramal Pharma's value of 2.16 is 34.3% below this industry median. Based on the distribution chart, Piramal Pharma ranks #643 out of 952 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Piramal Pharma has a GF Score™ of 58/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Piramal Pharma's Altman Z-Score compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Piramal Pharma ranks #643 out of 952 companies for Altman Z-Score. This places Piramal Pharma in the lower half of its industry. The industry median Altman Z-Score is 3.29. Piramal Pharma's value of 2.16 is 34.3% below this benchmark. Historically, Piramal Pharma's own Altman Z-Score has ranged from 1.25 to 3.37 over the past decade. While the company's 10-year median is 2.01 vs. the industry median of 3.29, Piramal Pharma 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 Drug Manufacturers company?
The median Altman Z-Score among Drug Manufacturers companies is 3.29, based on 952 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. Piramal Pharma's current Altman Z-Score of 2.16 is 34.3% 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 Piramal Pharma and its competitors. For the Drug Manufacturers industry, the median Altman Z-Score is 3.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Piramal Pharma's current Altman Z-Score is 2.16, which is near median its own 10-year median of 2.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Piramal Pharma stock overvalued right now?
Based on GuruFocus' analysis, Piramal Pharma (NSE:PPLPHARMA) is currently considered Fairly Valued. The stock's GF Value™ is ₹174.09, compared to a current price of ₹175.23 — trading 0.7% above its estimated fair value. The current Altman Z-Score is 2.16, which is near median its 10-year median of 2.01 and 34.3% below the Drug Manufacturers industry median of 3.29. Piramal Pharma's overall GF Score™ is 58/100 with 5 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 Piramal Pharma (NSE:PPLPHARMA), the current Altman Z-Score is 2.16 as of Jul. 07, 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 Piramal Pharma (NSE:PPLPHARMA) Overvalued in 2026?
Based on GuruFocus' analysis, Piramal Pharma stock appears to be overvalued.
The current stock price of ₹175.23 is trading 0.7% above its estimated GF Value™ of ₹174.09.
GuruFocus considers Piramal Pharma to be Fairly Valued.
Key valuation signals for NSE:PPLPHARMA:
Altman Z-Score: 2.16 (near median its 10-year median of 2.01)
GF Value™: ₹174.09 vs. price of ₹175.23 (0.7% above fair value)
Industry Position: 34.3% below the Drug Manufacturers median (#643 of 952)
No single metric tells the full story. See the NSE:PPLPHARMA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Piramal Pharma Ltd is a pharmaceutical company, providing end-to-end pharma services to customers and a portfolio of differentiated pharma products across a domestic and international distribution network. It operates under three business verticals; an integrated contract development and manufacturing (CDMO) business providing Active pharmaceutical ingredients (APIs), Finished dosage forms (FDFs), biologics, and vaccines among other products; the other two business verticals include a complex hospital generics business, and an India consumer healthcare business, selling over-the-counter products in India. Geographically, the company generates maximum revenue from North America and the rest from Europe, India, Japan, and other markets.
58GF Score
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