Introduction: Cocos nucifera L. is known for all its multiple utilities especially for its nutritional value. The Coconut__ampersandsignrsquo;s basal part of the embryo enlarges to form sprout/haustorium. Aim: The objective is to compare the phytoconstituents and its bioefficacy of the coconut meat (cellular endosperm) and its sprouts (haustorium) using bioassays leading to novel drug development recommending for the development of nutraceuticals. Methodology: Studies on toxicity, shelf-life of the dried powdered samples were carried out. Quantification of total lipids, flavonoids, vitamin- C, determination of amylase activity was performed using methanol and aqueous extracts. Bioassays such as antibacterial, in vitro antioxidant and anti-inflammatory assays, were conducted. Phytoconstituents were characterized by GC-MS. The cytotoxic effect of the samples was analyzed in human gastric adenocarcinoma epithelial (AGS) cell line infected with gastric ulcer. Results: Toxicity and shelf-life studies had indicated that the samples were non-toxic with the shelf-life extending up to 180 days. Quantitative analysis showed maximum flavonoids followed by vitamin-C with reduced levels of lipids in the coconut sprouts when compared to coconut meat. Promising amylase activity was revealed by coconut sprouts as these had the potency to decrease the concentration of starch substrate. Prominent zone of inhibitions in the antibacterial assay was recorded in the samples assayed. In vitro, antioxidant assays and anti-lipoxygenase activity signified the enriched bioactive potential of the coconut sprouts. GC-MS analysis had revealed variations in the presence of primary and secondary metabolites. Coconut sprouts extracts were found to be cytotoxic to the infected cells. Conclusion: Coconut sprouts can be recommended as an economically potent natural product for the commercial production of nutraceuticals in the food industry further to be used as a nutrient supplement in the prevention and management of peptic ulcers with a cost-effective approach.