Sun Pharma Share Price: 17.4% CAGR in 3 Years as the Sector Heavyweight Faces Cipla and Divi's Labs

Sun Pharma previous close Rs 1,904.50. 3-year CAGR 17.4%. Up 1.6x since 9 Nov 2023. ROE 13.79%. Market cap Rs 4,57,073 crore.

The Sun Pharma share price has delivered a steady return over the last three years, and that makes Sun Pharmaceutical Industries a reliable reference point for the pharma sector. The Mumbai-based company is the largest drug maker in India by sales and the biggest pharma stock by market cap.

This article compares that run with Cipla and Divi's Laboratories. We calculate the three-year CAGR for all three and set the results beside market cap, valuation, return on equity and debt, using prices adjusted for corporate actions, so that readers get a like-for-like view.

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How Much Has the Sun Pharma Share Price Returned in 3 Years?

The Sun Pharma stock closed at Rs 1,176.20 on 9 November 2023 and at Rs 1,904.50 on 9 November 2026. Rs 1 lakh invested three years ago would have grown to about Rs 1.62 lakh, which is a CAGR of 17.4%. This is a price return and leaves out dividends.

CAGR condenses a bumpy three-year ride into one yearly number, which is why it is the fairest way to compare companies of different sizes. A stock such as Sun Pharma can look spectacular on a chart and still have earned a modest yearly return, so the compounded figure keeps the comparison honest.

The Sun Pharma share price has also been supported by growth in its specialty medicines portfolio abroad and by a strong position in the Indian prescription market.

Sun Pharma vs Cipla and Divi's Laboratories: 3-Year CAGR Compared

The table ranks the companies by three-year CAGR. Prices on 9 November 2023 are adjusted for splits and bonuses, and the latest figures are the previous close on 9 November 2026.

Company	Close on 9 Nov 2023	Previous close (9 Nov 2026)	Price multiple	3-year CAGR
Divi's Laboratories	Rs 3,498.50	Rs 11,565.50	3.3x	49.0%
Sun Pharmaceutical Industries	Rs 1,176.20	Rs 1,904.50	1.6x	17.4%
Cipla	Rs 1,238.15	Rs 1,403.80	1.1x	4.3%

The Sun Pharma stock ranks second of the three at 17.4%. It sits ahead of Cipla (4.3%). The company ahead is Divi's Laboratories (49.0%). Divi's Laboratories finished well ahead of the group, with Sun Pharma in second place and Cipla in third. Sun Pharma is by far the largest of the three by market cap, so its yearly return came on a very large base of capital.

Look at the Sun Pharma share price alongside the peers as a snapshot of the last three years. It describes what happened, and valuation and earnings will decide what happens next.

Valuation and Quality Compared

Company	Market cap	P/E	Industry P/E	ROE	Debt to equity
Sun Pharmaceutical Industries	Rs 4,57,073 crore	41.60	40.13	13.79%	0.04
Divi's Laboratories	Rs 3,07,147 crore	91.33	40.13	15.32%	0.00
Cipla	Rs 1,13,589 crore	39.81	40.71	8.18%	0.02

By market cap, Sun Pharmaceutical Industries is the largest of the group at Rs 4,57,073 crore, which gives it the scale advantage over Cipla, Divi's Laboratories. On earnings, Sun Pharma shares trade at a P/E of 41.60 against an industry P/E of 40.13, a premium of about 4%, which signals that the market expects faster earnings growth. Peer multiples are Cipla at 39.81 and Divi's Laboratories at 91.33.

Return on equity is 13.79% for the Sun Pharma stock, which ranks second among the three, and debt to equity stands at 0.04. Trailing EPS is Rs 45.79. Large pharma companies are valued on the strength of their branded and specialty businesses, so the P/E should be read next to return on equity and the pace of earnings growth.

What Is Driving the Sun Pharma Stock?

Sun Pharma sells branded and generic medicines in India, the United States and other markets. It holds a leading position in several chronic therapy areas in India, which brings repeat prescriptions and steady cash flows.

The company has also built a specialty portfolio, including dermatology and ophthalmology products, that adds higher margin revenue over time. Its large manufacturing network and low debt give it room to invest in research and new launches.

Followers of the Sun Pharma share price usually track the growth of the India business, performance of specialty products in the United States, regulatory inspections at plants and the research pipeline.

How the Established Players Stack Up

Cipla is a Mumbai-based drug maker with strength in respiratory medicines and a significant presence in India, the United States and South Africa. It compounded at 4.3% a year, on a market cap of Rs 1,13,589 crore and an ROE of 8.18%.

Divi's Laboratories is a Hyderabad-based maker of active pharmaceutical ingredients and custom synthesis products for global drug companies. It compounded at 49.0% a year, on a market cap of Rs 3,07,147 crore and an ROE of 15.32%.

What Should Investors Track Next?

Three things are worth watching on the Sun Pharma share price. First, the growth of specialty products in global markets. Second, the pace of the India business. Third, margins as research spending changes.

At a P/E of 42, the stock trades close to the industry P/E of 40, and its debt to equity of 0.04 is very low. That gives the balance sheet a comfortable position.

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How to Compare Pharma Stocks Yourself

You can repeat this exercise for any pair of stocks, including the Sun Pharma stock against its peers. Note the adjusted closing price on the base date, take the latest close, divide one by the other, raise the result to the power of one third and subtract one. Then place the CAGR next to market cap, P/E against the industry P/E, ROE and debt to equity. Benchmark the result against the Nifty 50 as well, so you know whether the stock beat the broader market.

A stock that scores well on growth but weakly on quality, or the reverse, deserves closer study before it enters a portfolio. When tracking the Sun Pharma share price, the same four checks give a more complete picture than price alone.

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The Sector Heavyweight With a Very Low Debt Load

The Sun Pharma share price compounded at 17.4% a year over three years, ahead of Cipla at 4.3% and behind Divi's Laboratories at 49.0%. Its ROE of 13.79% is steady and debt is almost absent.

Divi's Laboratories brings the faster return, while Cipla offers a respiratory focus at a similar multiple. The choice depends on which business model you prefer.

Frequently Asked Questions

What is the Sun Pharma share price today?

Ans. Sun Pharmaceutical Industries closed at Rs 1,904.50 on 9 November 2026, according to NSE data. It has a market cap of Rs 4,57,073 crore and a P/E of 41.60. Check live quotes before acting, as prices change every trading day.

What is the 3-year CAGR of the Sun Pharma stock?

Ans. Sun Pharmaceutical Industries delivered a price CAGR of 17.4% over three years, moving from Rs 1,176.20 on 9 November 2023 to Rs 1,904.50 on 9 November 2026. The figure excludes dividends and uses adjusted closing prices.

Is Sun Pharma better than Cipla?

Ans. Sun Pharma delivered a higher three-year CAGR at 17.4% than Cipla at 4.3%. Sun Pharma is larger by market cap at Rs 4,57,073 crore against Rs 1,13,589 crore, and it has a higher ROE at 13.79% against 8.18%. The better choice depends on your view of each business.

What does Sun Pharmaceutical Industries do?

Ans. Sun Pharmaceutical Industries is a Mumbai-based drug maker and the largest pharma company in India by sales, with branded, generic and specialty businesses.

Is the Sun Pharma stock debt free?

Ans. The debt to equity ratio of the Sun Pharma stock is 0.04 and its return on equity is 13.79%. Always check the latest balance sheet for current figures, as debt levels change with expansion plans.

Is Sun Pharma expensive compared with the industry?

Ans. Sun Pharma trades at a P/E of 41.60 against an industry P/E of 40.13. A higher multiple reflects expectations of faster growth, which the company must deliver through earnings.

Which pharma stock gave the highest return in 3 years?

Ans. Among the companies compared here, Divi's Laboratories delivered the highest three-year CAGR at 49.0%, followed by Sun Pharmaceutical Industries at 17.4%. Past returns do not guarantee future performance.

How do I calculate CAGR for a stock?

Ans. Divide the latest price by the starting price, raise the result to the power of one divided by the number of years, and subtract one. Multiply by 100 for a percentage. Use split and bonus adjusted prices for accurate results.