Cipla shines in gloomy pharma pack, biggest beneficiary of faster approvals

A low base in the US also means lower risks of price erosion, but as the company builds up its product pipeline expect earnings to improve

In a matter of few days, Cipla has announced the approval for the launch of three key generic drugs in the US market, which has boosted its share price. Recent news apart, even in the past few months, Cipla has been among the top performing pharmaceutical stocks. While Cipla getting approval for the launch of respiratory inhalation product in the US was the reason for Friday's cheer, the gains this week follow the announcement of approval of generic version of cancer drug, Dacogen. Given the company's low base of US business, plans to ramp up its product pipeline for launch