Dishman Carbogen Amcis Limited

Healthcare — Biotechnology · NSE

₹150.00−₹1.18 (−0.78%)

DalalBaazaar Score

48 / 100

🟡 Moderate

Verdict

CAUTION

Risk

Moderate

Driven by micro-cap size, which brings thin liquidity, a very high earnings multiple, which leaves little margin for disappointment.

In simple words: The business is earning a fairly low return on the money invested in it, but sales are shrinking. Valuation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 8:27 pm

Understanding the Business

Company site ↗

The 60-second version of Dishman Carbogen Amcis Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Dishman Carbogen Amcis Limited provides contract development and manufacturing organization (CDMO) services for the pharmaceutical and healthcare industries worldwide. It operates through Integrated CDMO Platform and Marketable Molecules segments.

IndustryBiotechnology

SectorHealthcare

Employees934

Annual revenue₹2,878 Cr

How does it make money?

Turns over ₹2,878 Cr a year. Of every ₹100 of sales, about ₹3 reaches shareholders as profit, with ₹20 left at the operating level before interest, tax and depreciation. Each of its 934 employees supports ₹3.08 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹3.08 Cr

Who are its competitors?

The closest listed comparisons in its industry are TATA CONSULTANCY SERV LT, INFOSYS LIMITED, HCL TECHNOLOGIES LTD, WIPRO LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 2.7% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE32.0%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +24% while net margin moved -363% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+24%

Margin effect-363%

DalalBaazaar Score

48/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ ROE of 1.5% is weak

Quality vs. Valuation

Company Quality

45/ 100

Average

How good the business is, ignoring the share price entirely.

Valuation

55/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

147.1x

1.3Y Median

890.2x

16 monthly readings · mean 775.0x · range 24.1x–1389.5x

Sector Median

16.5x

median of 4 sector peers

🟢Current valuation is approximately 83% below its 1.3y median of 890.2x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

⚠️Against its sector it trades 789% above the peer median of 16.5x.

vs. its own history

Cheap

890.2x median over 16 months · -83%

vs. sector peers

Expensive

16.5x median of 4 peers · +789%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

8.2x

PEG

—

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 15.2% to 19.6% over 3 years.
Cash flow has turned positive
Free cash flow moved from negative to positive over 3 years.
Return on capital is rising
ROCE has improved from 0.3% to 2.7%.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Thin interest coverageFinancial
Operating profit covers interest only 1.7x — little room if earnings dip.
🟡Debt is increasingFinancial
Total debt is up 39% over 3 years.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 15.2% to 19.6%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 83% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Self-funding with balance-sheet headroom
Positive free cash flow of ₹225 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 5.4x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
A premium to the sector to defend
It trades 789% above the peer median. That premium needs a reason that persists, or it closes.
Growth barely outpaces inflation
Revenue compounding at 7.5% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 18%✓ 19.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 5.4x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Interest cover stays above 3x✗ 1.7x
How much operating profit can fall before interest stops being comfortably covered.
4Revenue growth stays above 6% a year✓ 7.5% CAGR
Latest reported year was -4.3%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
5Free cash flow remains positive✓ ₹225 Cr
Profit that never becomes cash eventually stops being profit.

Investment Checklist

5 / 11 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ Revenue growing year-over-year
✓ Profit growing year-over-year
✗ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

5 good · 2 neutral · 4 weak

Market Cap

₹2,352 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

147.1x

Expensive

Expensive — verify against sector peers

P/B Ratio

0.35x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹1.02

Profitable

Profitable on a per-share basis

ROE

1.5%

Weak

Weak capital efficiency

ROCE

2.7%

Weak

Low return on total capital employed

Debt/Equity

0.46x

Low

Conservative leverage

Revenue Growth (YoY)

-4.3%

Shrinking

Sales are contracting

Profit Growth (YoY)

2907.7%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹225 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

12.0x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

-4.5%

Weak

Thin margins leave little room for error

Net Margin

0.6%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.23

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.65

Defensive

Steadier than the market

52W Range Position

12%

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

158.1 / 169.5

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

26.4

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2,315 Cr	₹2,544 Cr	₹2,642 Cr	₹2,878 Cr	+7.5%
EBITDA	₹352 Cr	₹312 Cr	₹483 Cr	₹565 Cr	+17.1%
EBITDA Margin	15.2%	12.3%	18.3%	19.6%	—
PAT (Net Profit)	-₹30 Cr	-₹153 Cr	₹3 Cr	₹97 Cr	—
EPS	₹-1.9	₹-9.79	₹0.21	₹6.22	—
ROE	-0.5%	-2.7%	0.1%	1.5%	—
ROCE	0.3%	-0.1%	2.1%	2.7%	—
Total Debt	₹2,209 Cr	₹2,313 Cr	₹2,389 Cr	₹3,076 Cr	+11.7%
Free Cash Flow	-₹354 Cr	₹76 Cr	₹155 Cr	₹225 Cr	—

🟢 Revenue has grown at 7.5% a year over 3 years.

🟢 EBITDA has grown at 17.1% a year over 3 years.

🟢 EBITDA Margin has risen from 15.2% to 19.6% over 3 years (+4.4 pts).

🟢 PAT (Net Profit) has turned positive, from -₹30 Cr to ₹97 Cr.

🟢 EPS has turned positive, from ₹-1.9 to ₹6.22.

🟢 ROE has risen from -0.5% to 1.5% over 3 years (+2.0 pts).

🟢 ROCE has risen from 0.3% to 2.7% over 3 years (+2.4 pts).

🔴 Total Debt has grown at 11.7% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹354 Cr to ₹225 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹11,923 Cr

Total Liabilities

₹5,246 Cr

Cash & Equivalents

₹773 Cr

Operating Cash Flow

₹491 Cr

Capex

-₹267 Cr

Shareholding (proxy)

Institutional Holding

2.7%

Insider Holding

69.3%

Corporate Actions

Ex-Dividend Date

12 Sept 2019

Peer Comparison

Company	P/E	ROE
TATA CONSULTANCY SERV LT	17.3x	45.6%
INFOSYS LIMITED	15.8x	32.0%
HCL TECHNOLOGIES LTD	20.4x	24.6%
WIPRO LTD	14.5x	15.9%

Recent News

1 negative5 general

Dishman Carbogen Amcis completes ₹75 crore NCD allotment at 10% coupon

scanx.trade, 18 Oct

Beta Drugs vs Dishman Carbogen Amcis vs Fredun Pharmaceuticals

Univest, 16 Oct

With EPS Growth And More, Dishman Carbogen Amcis (NSE:DCAL) Makes An Interesting Case

Simply Wall Street, 22 May

Dishman Carbogen Amcis Ltd. Shareholding Pattern – Promoters, FIIs & DIIs

Value Research, 31 Aug

Dishman Carbogen Amcis consolidated net profit declines 49.55% in the March 2026 quarter

Business Standard, 20 MayResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

Dishman Carbogen Allots ₹38 Crore NCDs on Private Placement Basis

scanx.trade, 15 Oct

Watch Items

Revenue growth is negative (-4.3%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

MiddlingBusiness Quality · Financial Health · Valuation

WeakGrowth · Profitability · Risk

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 1 high-severity red flag sits above this conclusion and should be read first.

2 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Interest cover stays above 3x · see Key things to watch ↑