Optimal financial mix is always a big question for any organization. Way back from David Durand till Modigliani & Miller, Capital Structure for any organization is been tested on various beliefs. The two broad classification equity and debt have their own benefits and pitfalls. Equity is more favorable in the nascent phase of any organization. Whereas debt is beneficial in reducing tax burden and thereby enhancing returns to the shareholders. Both equity and debt projects as a double edged sword, where any organization shall take its advantage bi-sided. It is a financial art of swinging this double edged sword to have a cutting edge over its competitors. Financial brand equity and financial reliability are represented by Market Value and Intrinsic Value of a firm. Hence, the paper intends to study the impact of Capital Structure on Market value and Intrinsic value for leading companies of Pharmaceutical industry listed in NSE such as Aurobindo Pharma, Cipla, Dr. Reddy’s Laboratories, Lupin and Sunpharma. The following capital structure ratios are used for calculations - Capital Gearing Ratio, Debt Equity Ratio, Total Investment to Long term liabilities, Ratio of Fixed Assets to Funded Debt, Ratio of Current Liabilities to Proprietor’s Fund and Ratio of Reserves to Equity Capital.