RDY official logo RDY
RDY 2-star rating from Upturn Advisory
Dr. Reddy’s Laboratories Ltd ADR (RDY) company logo

Dr. Reddy’s Laboratories Ltd ADR (RDY)

Dr. Reddy’s Laboratories Ltd ADR (RDY) 2-star rating from Upturn Advisory
$14.04
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Upturn Advisory Summary

12/31/2025: RDY (2-star) is currently NOT-A-BUY. Pass it for now.

Upturn Star Rating

Upturn 2 star rating for performance

Below Average Performance

These Stocks/ETFs, based on Upturn Advisory, often underperform the market, warranting careful consideration before investing.

Number of Analysts

1 star rating from financial analysts

4 Analysts rated it

Very few follow this stock; limited insights, higher-risk early investing.

1 Year Target Price $14.61

1 Year Target Price $14.61

Analysts Price Target For last 52 week
$14.61 Target price
52w Low $12.18
Current$14.04
52w High $16.07

Analysis of Past Performance

Type Stock
Historic Profit 18.41%
Avg. Invested days 40
Today’s Advisory PASS
Upturn Star Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 3.0
Stock Returns Performance Upturn Returns Performance icon 2.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 12/31/2025

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 11.74B USD
Price to earnings Ratio 18
1Y Target Price 14.61
Price to earnings Ratio 18
1Y Target Price 14.61
Volume (30-day avg) 4
Beta 0.34
52 Weeks Range 12.18 - 16.07
Updated Date 01/1/2026
52 Weeks Range 12.18 - 16.07
Updated Date 01/1/2026
Dividends yield (FY) 0.65%
Basic EPS (TTM) 0.78

Analyzing Revenue: Products, Geography and Growth

Revenue by Geography

Geography revenue - Year on Year

Earnings Date

Report Date -
When -
Estimate -
Actual -

Profitability

Profit Margin 17.13%
Operating Margin (TTM) 18.45%

Management Effectiveness

Return on Assets (TTM) 8.78%
Return on Equity (TTM) 17.36%

Valuation

Trailing PE 18
Forward PE 22.27
Enterprise Value 11662249603
Price to Sales(TTM) 0.03
Enterprise Value 11662249603
Price to Sales(TTM) 0.03
Enterprise Value to Revenue 3.06
Enterprise Value to EBITDA 10.63
Shares Outstanding 832523765
Shares Floating 600310158
Shares Outstanding 832523765
Shares Floating 600310158
Percent Insiders -
Percent Institutions 13.94

Icon representing Upturn AI-generated SWOT analysis summary Upturn AI SWOT

Dr. Reddy’s Laboratories Ltd ADR

Dr. Reddy’s Laboratories Ltd ADR(RDY) company logo displayed in Upturn AI summary

Company Overview

Company history and background logo History and Background

Dr. Reddy's Laboratories Ltd was founded in 1984 by Dr. Kallam Anji Reddy. It began as a manufacturer of active pharmaceutical ingredients (APIs) for the Indian market. Key milestones include its expansion into finished dosage forms, its listing on Indian stock exchanges, and its ADR listing on the New York Stock Exchange (NYSE). The company has grown into a global pharmaceutical enterprise with a focus on affordable and innovative medicines.

Company business area logo Core Business Areas

  • Global Generics: This segment focuses on developing, manufacturing, and marketing a wide range of generic pharmaceutical products across various therapeutic areas. It includes branded generics and over-the-counter (OTC) products in emerging markets and developed markets.
  • Pharmaceutical Services and Active Ingredients (PSAI): This segment provides API manufacturing services to other pharmaceutical companies and also sells APIs to external customers. It is a significant contributor to the company's revenue and leverages its strong R&D and manufacturing capabilities.
  • Proprietary Products: This segment focuses on developing differentiated formulations and novel drug delivery systems. It aims to address unmet medical needs and create value through innovation, often targeting chronic diseases.
  • Biosimilars: Dr. Reddy's is actively involved in the development and commercialization of biosimilars, which are highly similar versions of approved biologic medicines. This segment targets complex biological treatments and offers more affordable alternatives.

leadership logo Leadership and Structure

Dr. Reddy's Laboratories is led by a professional management team with a Board of Directors overseeing its strategic direction. The company operates through various business units aligned with its core segments, with a global presence and regional operational structures.

Top Products and Market Share

Product Key Offerings logo Key Offerings

  • Sunitinib Malate (Sutentu00ae generic): A generic version of an oncology drug used to treat certain types of kidney cancer and gastrointestinal stromal tumors. Competitors include original brand manufacturer Pfizer and other generic API and formulation players.
  • Ritonavir Tablets: An antiretroviral medication used to treat HIV/AIDS. Competitors include original brand manufacturers and other generic pharmaceutical companies globally.
  • Gabapentin: An anticonvulsant and analgesic medication used to treat epilepsy and neuropathic pain. This is a widely available generic with numerous competitors globally.
  • Various Cardiovascular and Anti-diabetic medications: Dr. Reddy's offers a broad portfolio of generic drugs in these high-volume therapeutic areas, facing intense competition from both large multinational and smaller generic manufacturers.

Market Dynamics

industry overview logo Industry Overview

The global pharmaceutical industry is characterized by intense competition, stringent regulatory environments, and a growing demand for affordable medicines. The generics market continues to be driven by patent expirations and government healthcare policies promoting cost containment. Biosimilars are a rapidly growing segment, offering significant opportunities due to the high cost of biologics.

Positioning

Dr. Reddy's Laboratories is a significant player in the global pharmaceutical market, particularly in emerging economies and the generics space. Its competitive advantages lie in its strong R&D capabilities, robust manufacturing infrastructure, diversified product portfolio, and established market presence in key geographies.

Total Addressable Market (TAM)

The global pharmaceutical market is valued in trillions of dollars, with the generics segment comprising a substantial portion. Dr. Reddy's is positioned to capture a growing share of this market by focusing on product development, strategic partnerships, and expanding its geographic reach. The company is well-positioned to leverage the increasing demand for affordable healthcare solutions.

Upturn SWOT Analysis

Strengths

  • Strong R&D capabilities and a focus on innovation.
  • Diversified product portfolio across multiple therapeutic areas.
  • Established global manufacturing and supply chain infrastructure.
  • Significant presence in emerging markets.
  • Experienced leadership team and skilled workforce.

Weaknesses

  • Reliance on a few key products for revenue.
  • Exposure to price erosion in the highly competitive generics market.
  • Regulatory challenges and compliance requirements in different geographies.
  • Potential for delays in product approvals.

Opportunities

  • Growth in biosimilars market.
  • Expansion into new geographic markets.
  • Strategic acquisitions and partnerships.
  • Increasing demand for affordable healthcare globally.
  • Leveraging digital technologies for R&D and commercialization.

Threats

  • Intense competition from global and local players.
  • Changes in regulatory policies and pricing pressures.
  • Patent expirations and increased generic competition for branded drugs.
  • Economic downturns affecting healthcare spending.
  • Geopolitical risks and supply chain disruptions.

Competitors and Market Share

Key competitor logo Key Competitors

  • Sun Pharmaceutical Industries Ltd. (India, not a direct US stock listing)
  • Cipla Ltd. (India, not a direct US stock listing)
  • Lupin Limited (India, not a direct US stock listing)
  • Teva Pharmaceutical Industries Ltd. (TEVA)
  • Viatris Inc. (VTRS)
  • AbbVie Inc. (ABBV) - for some biologics/biosimilars
  • Amgen Inc. (AMGN) - for some biologics/biosimilars

Competitive Landscape

Dr. Reddy's faces intense competition from established generic manufacturers and innovative pharmaceutical companies. Its advantages include a strong focus on R&D, a diversified product pipeline, and a significant presence in emerging markets. However, it must navigate pricing pressures and regulatory hurdles to maintain its competitive edge.

Growth Trajectory and Initiatives

Historical Growth: Dr. Reddy's has demonstrated consistent historical growth through organic expansion, strategic product launches, and market penetration in key regions. Its focus on complex generics and biosimilars has been a significant driver of this growth.

Future Projections: Future projections are typically based on analyst estimates and the company's strategic roadmap, focusing on pipeline development, market expansion, and potential M&A activities. Growth is expected to be driven by its established generics business and its investments in higher-margin areas like biosimilars and proprietary products.

Recent Initiatives: Recent initiatives include expanding its biosimilar portfolio, entering into strategic partnerships for product development and commercialization, and investing in digital transformation to enhance R&D and manufacturing efficiency. The company also continues to focus on strengthening its presence in North America and Europe.

Summary

Dr. Reddy's Laboratories Ltd ADR is a well-established global pharmaceutical company with a strong foundation in generics and a growing presence in biosimilars. Its robust R&D, diversified portfolio, and emerging market strength are key advantages. However, it faces intense competition and pricing pressures in the generics space, necessitating continued innovation and strategic expansion. Focusing on high-growth areas and efficient operations will be crucial for sustained success.

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Sources and Disclaimers

Data Sources:

  • Company Annual Reports
  • Financial News Websites (e.g., Reuters, Bloomberg)
  • Market Research Reports
  • Analyst Reports

Disclaimers:

This information is for informational purposes only and does not constitute financial advice. Investors should conduct their own due diligence and consult with a qualified financial advisor before making any investment decisions.

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Information icon for Upturn AI Summarization data freshness disclaimer Summarized information shown could be a few years old and not current.

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About Dr. Reddy’s Laboratories Ltd ADR

Exchange NYSE
Headquaters -
IPO Launch date 2001-04-11
CEO & Member of the Management Council Mr. Erez Israeli M.B.A.
Sector Healthcare
Industry Drug Manufacturers - Specialty & Generic
Full time employees 27811
Full time employees 27811

Dr. Reddy's Laboratories Limited, together with its subsidiaries, operates as an integrated pharmaceutical company North America, Europe, India, Russia, and internationally. It operates through Global Generics, Pharmaceutical Services and Active Ingredients (PSAI), and Others segment. The Global Generics segment manufactures and markets prescription and over-the-counter finished pharmaceutical products that are marketed under a brand name or as a generic finished dosages with therapeutic equivalence to branded formulations, as well as engages in the biologics business. The PSAI segment manufactures and markets active pharmaceutical ingredients and intermediates, which are principal ingredients for finished pharmaceutical products. This segment also provides contract research services; and manufactures and sells active pharmaceutical ingredients and steroids with the customer requirements. The Others segment engages in developing therapies in the fields of oncology and inflammation; and research and development of differentiated formulations. The company offers its products for various therapeutic categories, including gastro-intestinal, cardiovascular, anti-diabetic, dermatology, oncology, respiratory, stomatology, urology, and nephrology, vaccines and pain management. Dr. Reddy's Laboratories Limited was incorporated in 1984 and is headquartered in Hyderabad, India.