ICICI Securities has issued a 'BUY' rating for Emcure Pharmaceuticals with a target price of ₹2,305, representing significant upside potential from the current market price. The brokerage values the Pune-headquartered pharmaceutical company at 30x FY28E EPS of ₹76.8. According to the latest report from ICICI Securities, the recommendation reflects confidence in the company's diversified growth strategy and strong market position across multiple therapeutic areas. Emcure operates 13 manufacturing facilities and ranks 13th in the Indian Pharma Market, with the company's FY26 revenue mix showing domestic formulations at 44%, emerging markets at 20%, and chronic and sub-chronic therapies representing around 60% of domestic business.
Emcure's domestic operations demonstrate robust diversification across key therapeutic segments with strong growth visibility. The company maintains a strong position in chronic and acute therapies while holding leadership in Women's care through brands including Orofer XT, Pause Injection and Orofer FCM. Strategic in-licensing and distribution arrangements with Sanofi and Roche broaden the domestic portfolio, while the Poviztra partnership with Novo Nordisk provides exposure to the GLP-1 weight-management category and potential MASH opportunities. ICICI Securities expects domestic business to grow at about 12% CAGR in FY26-FY28E, supported by women's health, cardio-diabetology, biologics and new initiatives. The company employs around 4,500 medical representatives, with management aspiring to raise per-capita monthly productivity from about ₹7 lakh to ₹8-8.5 lakh over the medium term.
Emcure has successfully executed an acquisition-led strategy in Canada and Europe to build strong front-end capabilities internationally. The company acquired the remaining 20.42% stake in Zuventus for ₹724.9 crore and recently strengthened Canadian operations through the Cutimed acquisition in April 2026. ICICI Securities estimates international revenue growth of about 18% CAGR in FY26-FY28E, after approximately 23% CAGR in FY23-FY26. Canada is projected to grow about 15% CAGR to ₹1,964 crore, supported by more than 50 pipeline products with a stated total addressable market of CA$3 billion, including Semaglutide. Europe is forecast to grow about 19% CAGR to ₹2,635 crore in FY26-FY28E, with key drivers including liposomal Amphotericin B and incremental launches from Manx Healthcare. The company is the only generic player so far in Europe for liposomal Amphotericin B, which management considers a potential Euro 100 million generic opportunity.
Emcure's financial projections show strong growth trajectory with revenue expected to grow from ₹9,203.5 crore in FY26 to ₹12,080.3 crore in FY28E. The company's EBITDA is projected to increase from ₹1,907.4 crore to ₹2,668.1 crore over the same period, with EBITDA margin expected to rise by 75 basis points to about 22% in FY28E through operating leverage, capacity utilisation, and a richer complex-product mix. PAT is forecast to grow from ₹924.3 crore to ₹1,455.5 crore, with adjusted EPS expected to increase from ₹52.7 to ₹76.8. ICICI Securities forecasts revenue CAGR of about 15% and EBITDA CAGR of about 18% over FY26-FY28E, with the broker expecting RoCE to improve gradually despite annual capex of about ₹475 crore potentially moderating RoE through higher depreciation.
