indexPe

Nifty Pharma PE Ratio

Moderately OvervaluedSectoralNSELast updated: 21 Jul 2026
Select Metric:
Current PE Ratio
40.62
5Y Median PE
33.29
vs 5Y Median
+22.02%

The Nifty Pharma PE ratio is 40.62 as of 21 July 2026, about 22% above its 5-year median of 33.29, which places it in moderately overvalued territory on a historical basis.

PE Ratio vs Historical Medians

PeriodMedian PECurrent vs Median
Full history34.40+18.08%
15 Years36.98+9.84%
10 Years35.11+15.69%
7 Years33.10+22.72%
5 Years33.29+22.02%
3 Years33.89+19.88%
1 Year33.73+20.43%

Historical PE Ratio

Performance and risk

1Y total return
+15.73%
5Y total return (p.a.)
+12.94%
Volatility (1Y std dev)
14.16%
Beta vs Nifty 50 (1Y)
0.58

1-year holding windows since 2001 returned a median of +14.31% (best +95.84%, worst -33.08%).

Today's PE of 39.92 sits in band 4 of 5 of this index's history (PE 36.8 to 44.4). From this band, 5-year forward returns had a median of +8.70% a year and were positive in 95% of windows (806 windows since 2005).

View full performance and risk

Returns as of June 2026, from the NSE factsheet for the Nifty Pharma. 1-year returns are absolute; 5-year returns are annualized.

Stocks in the Nifty Pharma

The Nifty Pharma contains 20 constituents.

Healthcare: 20
SymbolCompanyIndustryWeight(%)
SUNPHARMASun Pharmaceutical Industries Ltd.Healthcare21.33
DIVISLABDivi's Laboratories Ltd.Healthcare9.04
DRREDDYDr. Reddy's Laboratories Ltd.Healthcare8.95
CIPLACipla Ltd.Healthcare8.92
LAURUSLABSLaurus Labs Ltd.Healthcare6.38
LUPINLupin Ltd.Healthcare6.35
TORNTPHARMTorrent Pharmaceuticals Ltd.Healthcare5.24
AUROPHARMAAurobindo Pharma Ltd.Healthcare4.73
GLENMARKGlenmark Pharmaceuticals Ltd.Healthcare3.59
ALKEMAlkem Laboratories Ltd.Healthcare3.52
ABBOTINDIAAbbott India Ltd.Healthcare
AJANTPHARMAjanta Pharmaceuticals Ltd.Healthcare
BIOCONBiocon Ltd.Healthcare
GLANDGland Pharma Ltd.Healthcare
IPCALABIpca Laboratories Ltd.Healthcare
JBCHEPHARMJ.B. Chemicals & Pharmaceuticals Ltd.Healthcare
MANKINDMankind Pharma Ltd.Healthcare
PPLPHARMAPiramal Pharma Ltd.Healthcare
WOCKPHARMAWockhardt Ltd.Healthcare
ZYDUSLIFEZydus Lifesciences Ltd.Healthcare

Constituent list as of 13 July 2026, sourced from NSE Indices. Weights as of 30 June 2026, from the NSE factsheet.

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Frequently Asked Questions

What is the current Nifty Pharma PE ratio?

As of 21 July 2026, the Nifty Pharma PE ratio is 40.62. That is about 22% above its 5-year median of 33.29 and about 20% above its 1-year median of 33.73.

Is the Nifty Pharma undervalued right now?

On a historical basis it screens as moderately overvalued. Its current PE of 40.62 sits above every median window: 1-year (33.73), 3-year (33.89), 5-year (33.29), 7-year (33.10), 10-year (35.11), 15-year (36.98) and full-history (34.40).

What is a normal PE ratio for the Nifty Pharma?

Over the past five years its median PE has been 33.29, and over the past three years 33.89. Today's 40.62 is toward the upper end of that historical range.

How many stocks are in the Nifty Pharma?

The Nifty Pharma contains 20 stocks. By number of companies, its largest sectors are Healthcare (20 stocks).

What returns has the Nifty Pharma delivered?

As of June 2026, the Nifty Pharma total return (with dividends reinvested) is +15.73% over the past year and +12.94% annualized over the past five years. One-year figures are absolute; multi-year figures are annualized (CAGR). Data from the NSE factsheet.

How volatile is the Nifty Pharma?

Over the year to June 2026, the Nifty Pharma had an annualized volatility (standard deviation of daily returns) of 14.16%. Its beta versus the Nifty 50 is 0.58, meaning it has moved less than the broad market.

What is a typical one-year return for the Nifty Pharma?

Across every one-year holding window since 2001, the Nifty Pharma total return has a median of +14.31%, with the best window at +95.84% and the worst at -33.08%. Based on NSE Total Returns Index data; a past distribution, not a prediction.

What have 5-year returns been from PE levels like today's?

The Nifty Pharma currently trades at a PE of 39.92, in band 4 of 5 of its own PE history. Across 806 overlapping 5-year windows since 2005 that began in this band, the median forward return was +8.70% a year, positive in 95% of windows. A past distribution, not a prediction.

Last updated: 21 July 2026.