Pharma Penny Stocks With High Potential 2025

Pharma penny stocks are shares of small pharmaceutical companies that are traded at a low price, mostly under ₹10 or ₹100. Investors seeking to build a portfolio with pharma penny stocks must also be prepared to face high volatility and risk. Let’s explore together a few important Pharma Penny Stocks. Scroll down below to see a few pharma penny stocks.

Pharma Penny Stocks in 2025 by Market Capitalisation

A few important pharma penny stocks that have high potential for return.

Overview of Pharma Penny Stock

1. Morepan Laboratories Ltd

Founded: 1984

Headquarters: New Delhi

Market Capitalisation: ₹3,440.00 crore

Morepan Laboratories Ltd. comes under pharma penny stocks that manufactures and provides high-quality healthcare solutions, including Active Pharmaceutical Ingredients (APIs). According to Morepan’s website, it is also a market leader in glucometers, having installed over 12 million units to date and sold nearly 1.6 million blood glucose strips. In the business of API, it exports 6 key APIs to nearly 80 countries. It is one of the best pharma penny stocks, offering high-quality products and innovative solutions. If you want to invest in Pharmaceutical Penny Stocks, then it may be one of the best pharma penny stocks. 

2. IOL Chemical & Pharmaceutical Ltd

Founded: 1986

Headquarters: Ludhiana, Punjab

Market Capitalisation: ₹2,724.00 crore

IOL Chemical & Pharmaceutical Ltd also comes in the category of Pharmaceutical Penny Stocks, a leading pharmaceutical (APIs) company and one of the significant players in the specialty chemical space. It is the largest player of ibuprofen, a painkiller, with a world market share of approximately 35.00%. The firm is categorised in a pharma penny stocks, and it focuses on implementing a high standard of excellence in operations. As per the company website, they focus on innovation, quality, and excellence in customer service. You can consider this company if you want to invest in pharmaceutical penny stocks.

3. Syncom Formulation Ltd

Founded: 1988

Headquarters: Indore, Madhya Pradesh

Market Capitalisation: ₹1,788.00 crore

Syncom Formulation Limited is a company that falls under Pharma Penny Stocks that deals with pharmaceutical products. It manufactures over 500 products and is mainly known for its diverse range of formulations, which includes tablets, capsules, liquids, injections, and a wide range of products. The company also engaged in the renting of properties. As it comes under pharma penny stocks, it deals with a wide range of products like ORS, cream, dry syrup, and injection. So you want to invest in Pharmaceutical Penny Stocks, you considered this as an option in the best pharma penny stocks.

4. Sigachi Industries

Founded:1989

Headquarters: Hyderabad, Telangana

Market Capitalisation: ₹1,591.00 crore

As it is classified under Pharma Penny Stocks, Sigachi Industries is a leading publicly listed company in India. It mainly works in the domains of Pharmaceutical API & Excipients, Food & Nutrition, and Operation & Management industries. As per their site, they have 5 multi-locational facilities, which are committed to the highest quality standards. They also claim world’s largest manufacturer of cellulose-based excipients, and deliver effective and stable pharmaceuticals and nutraceutical formulations. So you also consider this company in the Penny Stocks of Pharmaceutical Companies.

5. Sudarshan Pharma Industries Ltd

Founded: 2008

Headquarters: Mumbai, Maharashtra

Market Capitalisation: ₹698.00 crore

Sudarshan Pharma Industries Ltd. is a recognised pharma penny stocks, which is a pharmaceutical and chemical company based in India. It became a publicly listed company in 2016. The company’s promoters, Mr Hemal V Mehta & Sachin V Mehta, have a passion for building an integrated chemical and pharmaceutical company, which is considered a pillar of the company’s growth and its strong value system. So this company is also a part of the designated Pharmaceutical Penny Stocks.

6. Gennex Laboratories Ltd

Founded: 1995

Headquarters: Hyderabad, Telangana

Market Capitalisation: ₹337.00 crore

Gennex Laboratories Ltd operates under Pharma Penny Stocks, and it is a leading ‘vertically integrated’ pharmaceutical company in India. They have a product portfolio spread over major segments encompassing Expectorants, Muscle Relaxants, Analgesics, and Antifungals. They position themselves as high-quality driven, with the Industry’s best practices in place. They also manufacture and export APIs. So it is also grouped under Pharmaceutical Penny Stocks. If you also want to invest in the best penny stocks in pharma sector you can consider this in best pharma penny stocks.

7. Nectar Lifesciences Ltd

Founded: 1996

Headquarters: Chandigarh

Market Capitalisation: ₹425.00 crore

Nectar Lifesciences is labeled as an Indian Pharma Penny Stocks company, and it is a part of pharma penny stocks. Business areas include active pharmaceutical ingredients(APIs) and intermediates, formulation/finished dosage formulation(FDF). The company also manufactures oral and sterile cephalosporin products. The company also offers contract manufacturing, such as tablet capsules.

8. Kimia Bioscience

Founded: 1993

Headquarters: Gurgaon, Haryana

Market Capitalisation: ₹324.00 crore

Kmia Bioscience is classified among Pharma Penny Stocks in India, a company that develops drugs, especially active pharmaceutical ingredients (APIs). As per the website, they offer newer and innovative but cost-effective products across all therapeutic segments, and they are engaged in manufacturing bulk drugs.

9. Shukra Pharmaceuticals Ltd

Founded: 1993

Headquarters: Ahmedabad, Gujarat

Market Capitalisation: ₹909.00 crore

As low-priced equity, it also falls into the category of pharma penny stocks. The company is mainly engaged in 2 sectors: pharmaceuticals and laboratory.  The company’s manufacturing plant is situated in Rakanpur, Gandhinagar, and the product portfolio includes antibiotics, antifungal, analgesics, and muscle relaxants. They also deal in generic formulations, i.e, tablets, capsules, and small volume parenteral.

What are Pharma Penny Stocks

Pharma Penny Stocks are those stocks that are part of small pharmaceutical companies that trade at low prices, generally ₹10 or ₹100, and they have a low market capitalisation. These stocks are low-priced with high returns and a high risk of investment loss. These companies are generally in the early stages of development and have limited financial resources. The benefit of buying Pharma Penny Stocks is that it is traded at a low price with high returns and high risk.

The top Pharma Penny Stocks in 2025 include Morepan Laboratories, IOL Chemical & Pharmaceutical Ltd., Syncom Formulation, Sigachi Industries, Sudarshan Pharma Industries Ltd, Gennex Laboratories Ltd., and many more. By choosing pharmaceutical penny stocks, you can generate higher returns with higher risk, so invest wisely.

Benefits of Choosing Pharma Penny Stocks

• High Potential for Growth

Pharma penny stocks are small-cap pharma company that has high potential for growth because generally it is traded below ₹10 to ₹100, so any drug manufacturing company, when it announces any new category, then its share price is bullish, and you may get higher returns. So you can generate wealth or lose your money very fast in Pharmaceutical Penny stocks.

• Affordable Entry for Investors

Pharma Penny Stocks are traded at a low price, so we can enter the market smoothly and buy a large quantity compared to big pharma companies like Sun Pharma, Cipla, which are traded at a higher price, so in a small amount you can make a diversified portfolio, which is good for a new investor that is a positive point for Pharma Penny Stocks Investors. So if you invest in Pharmaceutical Penny Stocks, you always get this benefit.

• Act as Defensive Sector

The healthcare and pharmaceutical sector is considered recession-proof because it is a necessary item. People continue to buy medicine and vaccines, even when the economy is not performing well, so demand for pharmaceutical products remains constant. This is one of the major benefits of investing in pharma penny Stocks.

• High Volatility for Active Users

These pharma penny stocks are generally very reactive to the news, like a clinical trial, government approvals, and volatility is risky for long-term investors, but it may be beneficial to short-term investors who understand technical analysis, so they must understand the pharma penny Stocks well.

Factors Affecting Pharma Penny Stocks

1. Clinical trial outcome

Pharma penny stocks generally depend on the results of clinical trials; if they are positive, then we see the stocks also rise, and if it’s negative, the stock price goes down, so it is considered one of the major factors that affect the outcome of the pharma penny stocks.

2. Regulatory approval by DCGI, WHO

Regulatory approval plays a critical role in pharma penny stocks because if any drug is not approved by the Drugs Controller General of India (DCGI), who is responsible for regulating drugs in India, its share price also decreases; therefore, it also significantly affects the price of Pharma Penny Stocks.

3. Financial health and funding 

Financial health and funding are not only crucial in pharma penny stocks but also in every sector, including the automobile and IT sectors. Therefore, always review the company’s financial data and analyse what the data reveals. Based on this analysis, invest wisely and choose the right stocks. So, if you want to invest in the best pharma penny stocks, then see the financial data of the best penny stocks in pharma sector.

4. Industry and Market Demand 

Generally, the pharmaceutical and healthcare industry is considered recession-proof, but certain drugs are always in high demand. We saw this during the COVID-19 pandemic, where the sales of sanitisers and masks rose, as did the demand for vaccines. Industry and market demand also affect the pharmaceutical penny stocks.

Pharma Penny Stocks List Based on 5-Year Returns

Explore the top pharma penny stocks list based on 5-Year returns.

Pharma Penny Stocks List With P/E Ratio 

Explore the top Pharma penny stocks list with their P/E ratio. 

Pharma Penny Stocks List With Dividend Yields

Here is the top pharma penny stocks list with dividend yield.

How to Pick the Top Pharma Penny Stocks? 

How can we pick the top pharma penny stock? Let’s explore it.

1. See the Financial data

Not only in pharma penny stocks but in every sector, financial data tells us how the company is performing. Always choose the stocks whose performance is really good, see the Gross Profit, Net profit, EBITDA, always go through the balance sheet and P&L, and a few more financial metrics, and analyse them deeply.

2. Strong Promoter Holding

Promoter holding refers to the percentage of the company’s shareholdings that the founder owns. Always choose companies with a high proportion of their promoters, as they are less likely to manipulate the pharmaceutical penny stocks.

3. Hold Market share

Generally, choose companies that hold a significant market share in their niche, not only in the pharma penny stocks but in every sector. When a company has key domination in its sector, it generally keeps its investment safe.

4. Consistent Revenue Growth

Always choose companies that have consistently grown their revenue, as this indicates that their products are in demand in the market and their business model is sustainable. By choosing stocks in the pharma penny stocks, you can keep your investment safer.

Risks in Pharma Penny Stocks  | Know How to Mitigate Them

1. Clinical & Regulatory Risk

Penny stocks of Pharmaceutical Companies mainly depend on clinical trials; if they are not successful in their trials, it may create a problem for the company and their stock price may go down, and if any project delay, then its revenue may also be affected, so this factor plays an important role, especially in the pharma penny stocks.

2. Volatile and Price Manipulation

Pharma Penny Stocks are too volatile and too risky, as they are generally traded below ₹100. Consequently, prices fluctuate frequently, doubling or halving within days, making them a common target for pump-and-dump schemes.

3. Weak Finance

Always review the company’s financial data, as it provides a comprehensive overview of the company. Many companies are not profitable and have negative cash flow; these are red flags, so avoid investment in those pharma penny stocks.

4. Low Liquidity

Many Pharma penny stocks traded with very low volume, which creates a problem because low volume in the best-performing pharma penny stocks may result in a significant price decline over a specific period. 

Mitigate Strategy

A mitigation strategy is a type of strategy that reduces the risk of Investment. Therefore, we must employ this strategy to mitigate risks, thereby reducing the investment-related dangers we face.

Diversification

By employing a Diversification strategy, we can mitigate risk because our money is spread across various stocks. If all your money is in one stock, then it is too risky; therefore, always keep in mind the importance of diversifying your portfolio. If any one of their stocks is not performing well, then your portfolio will not look in red color.

Also Read : Undervalued Stocks in India 2025 

Pharma Penny Stocks List for Long Term

Who can pick stocks from the pharma Penny Stocks List? 

Here is the list of investors who can pick stocks from pharma penny stocks.

1. An individual with a deep Understanding of the Pharma Industry

Since the name suggests pharma penny stocks, we have to understand the pharma and healthcare industry well, because in the stock market, every industry behaves differently, so before investing in pharma penny stocks, understand how this industry behaves in the stock market, what are pros and cons of investing in this sector are. If you understand this industry and how it behaves, then it’s a good point for you.

2. Investor with High risk tolerance 

As discussed earlier that pharma penny stocks are too risky, so keep this in mind before trading, because if the stock is too risky, that means your invested amount may be doubled or halved within a few days, so it is not for people whose risk-taking capacity is too high.

Small Investors

It may be good for those small Investor which has low capital, as pharma penny stocks are traded below ₹100 or even ₹10, so within a small amount you can buy a large no of shares If you invest in companies like Sun Pharma or Cipla then they are very higher price compare to this one so it is a good option for small Investors.

Wealth Seeker 

Investors who want to generate a large amount of wealth in a short period they can invest in Pharma penny stocks because there are fewer stocks, which can yield higher returns, but keep in mind that it is also too risky, as they can even lose half of their investment amount within a few days.

How to Invest in Pharma Penny Stocks? 

Here is the step-by-step guide to investing in the best-performing pharma penny stocks in 2025. 

• Step 1: Research the pharma penny stocks list with their financials and fundamentals. 
• Step 2: Select the top pharma penny stocks to diversify your investment portfolio. 
• Step 3: Open a demat account on Univest, navigate to the search section, and look for the selected stocks. 
• Step 4: Place a buy order for the best-performing pharma penny stocks and execute it to invest successfully. 
• Step 5: Track your returns in the portfolio section and wait for the right time to book returns. 

Try Univest Pro to get daily stock recommendations on your pocketable platform (Smartphone). 

Key Takeaways

• Pharma penny stocks are characterised by strong fundamentals and effective cash flow, which enables robust growth. 
• Investing in pharma stocks can help individual diversify their portfolios and generate sustainable returns. 
• Top pharma company penny stocks like IOL Chemical & Pharmaceutical Ltd., Fortis Malar, etc., provide a high dividend yield. 
• Investors should consider several factors affecting the best-performing pharma penny stocks, such as regulatory changes, market trends, and macroeconomic events. 
• Small investors, long-term investors, and risk takers can benefit from the best-performing government penny stocks list. 

By exploring these key aspects, investors can make an informed investment decision on the pharma penny stocks list in India for 2025. 

Also Read : Return on Capital Employed (ROCE): All You Need to Know About

FAQs on Pharma Penny Stocks List 

Which Pharma penny stocks to buy?

Ans. Here is the top pharma penny stocks list to buy now in 2025. 

Disclaimer: Please be aware that investing in pharma penny stocks comes with inherent risks due to volatile market conditions and low liquidity. It is recommended to conduct your own research on the pharma penny stocks list to make an informed investment decision on pharma company penny stocks. 

Are Pharma penny stocks safe to invest in?

Ans. Pharma penny stocks are not considered a safe investment and are associated with several risks. These risks may include price volatility, market manipulation. Conduct deep research on the top pharma penny stocks list to diversify your investment portfolio. 

Who can invest in pharma penny stocks?

Ans. Investors with high risk tolerance and higher patience can consider investing in pharma penny stocks. They can generate sustainable returns and high dividend income through these stocks. 

Which pharma penny stocks will boom in 2025?

Here is the list of top pharma penny stocks list that could boom in 2025. 

Read Our Articles on the Best Stocks

Best Cement Stocks To Invest in India

What is Earnings Per Share EPS? 

Top Multibagger Penny Stocks For 2025 |  Potential Picks

Fundamentally Strong Stocks on NSE in 2025

Debt-Free Penny Stocks in India 2025

Best Realty Stocks In India 2025

Debt Free Penny Stocks Below 1 Rupee

Best Hotel Stocks in India to Invest In

Best Bike Stocks in India For 2025

Also Explore

Explore Webstories on Univest 

1. Best Time To Buy Dividend Stocks

2. How RBI Policies Affect Dividend Stocks

3. Can Dividend Stocks Beat Inflation

4. What Is The Dividend Aristocrat List

5. Which Indian Psus Offer The Best Dividends

6. Large Cap Vs Small Cap Dividend Stocks

Disclaimer: This is for general information and education purposes only. The Securities quoted (if any) are for illustration only and are not recommendatory. Past performance does not guarantee any future returns. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.