AARTIDRUGSAarti Drugs Limited Forensic Risk Analysis

Pharmaceuticals
Risk ClassStable
Market Cap₹3,272 Cr
Primary DriverCompetitive Position
Flagium AI Risk Score
Stable structural profile. Financial profile appears resilient.
19 / 100
-5 QoQ
Improving
Sentinel Insight

Financial profile remains stable for now. Pressure is receding in competitive position. This indicates that forensic pressure is currently receding. Risk levels are improving.

50.5th %ile (Sector)Accel: +0 Qtrs
Updated2026-06-02
Market View
₹380.8▼0.55%
PeriodQ4 FY26

Score Waterfall
Absolute contribution points of each forensic pillar to the final risk score. Derived from: Sector Baseline + Active Penalties - Mitigation Buffers.

Competitive Position
+10.6 pts
Earnings Quality
+7.9 pts
Stability Adjustment
+1.0 pts
Final Composite Risk19 / 100

Investment Risk Thesis

Historical Trend

Current risk score has risen from 4 → 19 over 13 quarters.

Expected Direction
🟢 Improving
Primary Deterioration Drivers
  • Industrial Margin Stress
  • Relative Growth Weakness
  • Capex Efficiency Stress
What to Watch Next Quarter
  • Operating cash flow
  • Operating profit margins
  • Debt growth

Active Risk Objects (5)

CriticalHigh
Cash Conversion Deficit
📊 Earnings QualityAnnualActive for 1 Years
More Detail
Impact Weight6/15
MomentumDecaying
Last SignalFY2024
AARTIDRUGS: OCF below Net Profit in 2/3 recent years.

"Cash conversion has normalized in the latest period. Operational cash flow is back in sync."

Industrial Margin Stress
📊 Earnings QualityAnnualActive for 4 Years
More Detail
Impact Weight12/15
MomentumPersistent
Last SignalQ4 FY2026
AARTIDRUGS: Raw material costs consumed an additional 4.0% of revenue YoY.

"Early signs of margin erosion. Input costs are beginning to eat into core profits."

Relative Growth Weakness
📊 Earnings QualityAnnualActive for 4 Years
More Detail
Impact Weight12/15
MomentumPersistent
Last SignalQ4 FY2026
Revenue growth consistently lags behind sector median (12.8%).

"Early signs of earnings quality decay. Profitability is being driven by non-core items."

Revenue-Debt Divergence
🏛️ Solvency & LeverageAnnualActive for 1 Years
More Detail
Impact Weight6/15
MomentumDecaying
Last SignalFY2025
AARTIDRUGS: Revenue fell 5.1% while Debt rose 8.9% in 2025 vs 2024.

"Debt servicing metrics have improved recently. The company is actively deleveraging."

Capex Efficiency Stress
📊 Earnings QualityAnnualActive for 1 Years
More Detail
Impact Weight8/15
MomentumDecaying
Last SignalQ2 FY2024
Aggressive Capex (17.1%) amidst slow revenue growth (-6.6%).

"Earnings quality is stabilizing. The reliance on non-operational items is receding."

Risk Trajectory
Historical 12-quarter risk trend (Q-11 to Q0) followed by a 2-quarter predictive funnel (Q+1, Q+2).
Loading Chart
Resilience Matrix
Diagnostic benchmarking comparing structural sensitivity and risk buffers against sector medians.
MetricValuevs SectorSignal
Volatility (σ)3.587.70✅ RESILIENT
Sensitivity (ε_s)11.00✅ RESILIENT
Escalation Prob.5%5%✅ NEUTRAL
Safety Buffer+47.0+47.0✅ RESILIENT
Forensic Benchmark Context: Pharmaceuticals (n=99 peers)

Correlation Analysis
Visualizing the relationship between stock price movement and structural risk objects.

Loading Chart
Share Price
Risk Score (0-100)
Market Performance
₹380.8(-0.55%)
1M Divergence-1.07%
1 Week-3.45%
1 Month+1.2%
6 Months-6.13%
1 Year-18.36%
2 Year-19.53%
3 Year-15.75%
Sector Average (1M)+2.27%
Sentinel Forensic Assessment
ALGORITHMIC RISK PROFILE • NON-ADVISORY

The structural architecture is currently robust. Capital resilience buffers in competitive position remain well-maintained against forensic benchmarks. Systematic scans of core structural metrics confirm the absence of material structural stress. Initial structural recovery is visible; monitor for a sustained return to resilience.

AARTIDRUGS • MARKET STRUCTURE

Stage 4 — Declining

The company is in a defensive phase. Sentiment and fundamentals are deteriorating under persistent downward pressure, indicating elevated risk levels.

Stage Transition Prob.0%
Trend QualityDeteriorating
Phase Progression
Phase Progression Score7.5%
Readiness LabelLow (Early Base Consolidation)
Probability of Advancing0%
CoinTree Momentum
Composite Z-Score-0.1988σ
Weakening momentum trend
Universe Rank
A cross-sectional rank of this stock's composite momentum score compared to all other tracked equities in the universe. A rank of #1 of 1035 means it has the strongest overall price momentum in the market.
#1411 of 2716
Top 51.95% in momentum strength
Timeframe Sparklines
1W-3.5%
1M+1.2%
6M-6.1%
Weinstein Indicators
150 DMA₹392.05
200 DMA₹417.51
150 DMA Slope-3.8947%Declining
Relative Strength-0.64%Neutral
Relative Turnover (RTR)0.8392
ParticipationNeutral

PEER COMPARISON

Ranked comparison against sector peers

Risk profile is broadly in line with the Sector Mean (19).
AARTIDRUGSAarti Drugs Limited
19 Risk
Sector %ile51th
Delta-5
Active Flags5
Accel+0
Competitive Position

Stable

AAREYDRUGSAarey Drugs & Pharmaceuticals Limited
23 Risk
Sector %ile63th
Delta-5
Active Flags20
Accel+0
Balance Sheet Stress

Watch

AARTIPHARMAarti Pharmalabs Limited
35 Risk
Sector %ile81th
Delta0
Active Flags18
Accel+0
Earnings Quality

Watch

ALBERTDAVDAlbert David Limited
37 Risk
Sector %ile90th
Delta-8
Active Flags27
Accel+0
Balance Sheet Stress

Watch

* Peer comparison is based on risk signals, not valuation or returns.

Risk Profiles

Solvency
10100th %ile
VS Sector Median (8.5)
Governance
10100th %ile
VS Sector Median (8.5)
Earnings Quality
4.747.2th %ile
VS Sector Median (8.5)
Balance Sheet Stress
10100th %ile
VS Sector Median (8.5)
Competitive Position
329.6th %ile
VS Sector Median (8.5)
Growth Sustainability
10100th %ile
VS Sector Median (8.5)

Deterioration Timeline

2026

Relative Growth Weakness

2026

Industrial Margin Stress

2026

Relative Growth Weakness

2026

Industrial Margin Stress

2026

Relative Growth Weakness

2026

Industrial Margin Stress

2026

Relative Growth Weakness

2026

Industrial Margin Stress

2025

Revenue-Debt Divergence

2024

Capex Efficiency Stress

2024

Cash Conversion Deficit

Key Financials (INR Cr)

PeriodRevenueNet ProfitOCFDebt
FY20262,568195254575
FY20252,403168245612
FY20242,533172359562
FY20232,718166134607