Case study

ALKEM

Alkem Laboratories Limited

Worth a closer look1y model +10.1%

Each stock's 10,000-path forecast, rendered as light.

69Score

Alkem Laboratories Limited (ALKEM) Stock Analysis & Case Study

Is ALKEM a good buy? The data-driven verdict.

Alkem Laboratories Limited (ALKEM) trades at ₹5,620,on the numbers it worth a closer look, a Downstox Snapshot Score of 69/100.

On the numbers, Alkem Laboratories Limited (ALKEM) worth a closer look, a Downstox Snapshot Score of 69/100, weighing premium at 27.6× earnings, ROE of 18.9%, a 66% model probability of trading higher in a year. Below: the full bull case, bear case, sector-relative valuation, and a probability-weighted price target for 2027-2031.

Last updated . Data snapshot for research, not investment advice.

ALKEM fundamentals at a glance, PE, PB, ROE, ROCE, market cap, dividend yield

Market cap
₹67,196 Cr
Current price
₹5,620
P/E ratio
27.6×
P/B ratio
4.86×
Book value
₹1,156
Dividend yield
0.94%
ROCE
21.2%
ROE
18.9%
Piotroski F-Score
6/8

How ALKEM ranks against the 2,373 companies in our screener

Is ALKEM overvalued? ALKEM P/E vs peers

ALKEM trades at 27.6× earnings. We don't have a verified sector peer group for this stock yet, so no sector peer median or peer comparison table is shown here. Showing one anyway would compare it against an arbitrary set of large-cap names, not real sector peers.

ALKEM share price target 2027, 2028, 2029, 2030, 2031, a probability view

Unlike a single guessed number, this is a probability-weighted range from a 10,000-path Monte-Carlo simulation on 9.8y of ALKEM history (13%/yr drift, 23%/yr volatility).

YearLow (P10)Median target (P50)High (P90)Upside vs today
ALKEM 2027₹4,613₹6,188₹8,301+10%
ALKEM 2028₹4,502₹6,814₹10,313+21%
ALKEM 2029₹4,526₹7,502₹12,437+33%
ALKEM 2030₹4,596₹8,261₹14,847+47%
ALKEM 2031₹4,701₹9,096₹17,600+62%

Median (P50) is the central estimate; the P10-P90 band is the 80% confidence range. Probabilities, not promises.

What is the probability ALKEM goes up, or doubles?

66%
Higher in 1 year
Modelled chance the price is above today in 12 months
83%
Higher in 5 years
Modelled chance the price is above today in 5 years
34%
Doubles in 5 years
Modelled chance of reaching ₹11,240 within 5 years

The bull case for ALKEM

  • ALKEM's return on equity of 18.9% ranks in the 81st percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • ALKEM's return on capital employed of 21.2% ranks in the 82nd percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • A 10,000-path probability model puts a 66% chance the price is higher in a year, with a median target of ₹6,188 (+10%).
  • Relatively low volatility (23%/yr), a steadier ride than the typical mid/small-cap.
  • Upside scenario: the model's optimistic (P90) 3-year path reaches ₹12,437.

The bear case & risks

  • ALKEM's P/E of 27.6x is lower than 49% of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • Downside scenario: the model's pessimistic (P10) 3-year path falls to ₹4,526.

ALKEM volatility & expected range, how bumpy is the ride?

Over the last 9.8 years ALKEM compounded at 13%/year with annualized volatility of 23%. That volatility implies a 1-year 80% range of ₹4,613-₹8,301, the honest backbone behind any single price target.

ALKEM price forecast, the full 60-month probability fan

Spot Price · Today
₹0
Based on 9.8 years of daily NSE data ·0.0% annualised volatility
5-yr median forecast
₹0
P(price ↑ in 5y)
0%
1-Year Forecast
2027
₹0
Median (P50)
10.1%
80% range₹4,613-₹8,301
P(price ↑)66%
P(price 2×)0%
3-Year Forecast
2029
₹0
Median (P50)
33.5%
80% range₹4,526-₹12,437
P(price ↑)77%
P(price 2×)15%
5-Year Forecast
2031
₹0
Median (P50)
61.9%
80% range₹4,701-₹17,600
P(price ↑)83%
P(price 2×)34%

ALKEM price probability fan

Each band shows where 10,000 simulated paths land. The wider the fan, the more uncertainty.

Probability Fan
ALKEM simulated paths · 60 months · 10,000 trials
P10-P90 (80%)P25-P75 (50%)Median (P50)

Probability of key outcomes

What are the odds ALKEM hits common targets within the simulated horizon?

0%
P(↑ 1Y)
Above today's price in 1 year
0%
P(↑ 5Y)
Above today's price in 5 years
0%
P(2×)
Doubles within 5 years
0%
P(↓)
Falls below today in 5 years

Full multi-horizon detail on the ALKEM price target & forecast page.

ALKEM Piotroski F-Score: 6/8, how financially strong is it?

6/8

The Piotroski F-Score grades financial strength on profitability, leverage and efficiency checks. Downstox scores the eight checks it can verify from published filings, so 8 is full marks. ALKEM scores 6/8, mixed financial health.

ALKEM MTF margin & leverage across 11 brokers

Margin Trading Facility lets you buy ALKEM with part of the capital. Lower margin % = higher leverage. Rates compared across 11 brokers (no competitor publishes this):

BrokerMargin requiredApprox. leverage
Upstox23.05%4.3×
Zerodha22.60%4.4×
Groww22.60%4.4×
Dhan22.00%4.5×
Kotak NeoCHEAPEST20.00%5.0×
Paytm Money20.55%4.9×
Pocketful26.56%3.8×
Fyers27.03%3.7×
Anand Rathi26.53%3.8×
Bajaj Broking23.00%4.3×
Share India26.52%3.8×

Compare every broker on the ALKEM MTF page.

About Alkem Laboratories Limited: sector, index & market-cap context

Alkem Laboratories Limited (ALKEM) is a mid-cap NSE-listed company, and a constituent of the Nifty 500 index, with a market capitalisation of ₹67,196 Cr. See more stocks on our screener.

How the ALKEM Snapshot Score & forecast are built

The Downstox Snapshot Score is a transparent, rules-based read of Alkem Laboratories Limited's public fundamentals plus a statistical forecast, not an analyst opinion. It rewards low-to-fair valuation, high ROE/ROCE, a strong Piotroski F-Score, a dividend, low volatility and a favourable probability of upside; it penalises rich valuations, weak capital efficiency, a low F-Score and high volatility. The price target is a 10,000-path Monte-Carlo simulation on real historical volatility, a distribution, not a single guess. The bull and bear cases are generated from the same data, so you always see both sides.

This is information, not investment advice. Do your own due diligence and consult a SEBI-registered adviser before investing.

ALKEM analysis, FAQs

Is Alkem Laboratories Limited (ALKEM) a good buy?

On the numbers, Alkem Laboratories Limited (ALKEM) worth a closer look, a Downstox Snapshot Score of 69/100, weighing premium at 27.6× earnings, ROE of 18.9%, a 66% model probability of trading higher in a year. This is a data snapshot for research, not investment advice.

Is ALKEM overvalued or undervalued?

ALKEM trades at 27.6× earnings, premium versus the ~22× long-run Nifty average.

What is the ALKEM share price target for 2031?

ALKEM's probability-weighted 2031 median target is ₹9,096, with an 80% range of ₹4,701-₹17,600 (10,000-path Monte-Carlo).

What is the probability ALKEM doubles in 5 years?

The modelled probability of ALKEM reaching ₹11,240 (2×) within 5 years is 34%.

What is the bull case for ALKEM?

ALKEM's return on equity of 18.9% ranks in the 81st percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026. ALKEM's return on capital employed of 21.2% ranks in the 82nd percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026. A 10,000-path probability model puts a 66% chance the price is higher in a year, with a median target of ₹6,188 (+10%).

What are the risks in ALKEM?

ALKEM's P/E of 27.6x is lower than 49% of the 2,373 NSE companies in our screener, as of 9 Aug 2026.

More on ALKEM