 "Cipla hits new high; stock gains 10% in two days")
Cipla has rallied 3% to Rs 631, also its record high on National Stock Exchange (NSE) in otherwise weak market on reports that Gilead Sciences plans to allow five Indian firms to sell generic versions of its new HepatitisC medicines viz sofosbuvir and ledipasvir in 90 countries.
Companies likely to sign deals with Gilead are Cadila, Hetero, Strides Arcolab and Mylan, while Cipla is expected to earn active pharmaceutical ingredient (API) rights, a Business Standard report suggests.
In past two trading sessions, shares of pharmaceutical company have rallied nearly 10% from Rs 575, compared to 1% decline in CNX Nifty.
The stock outperformed the market by gaining 23% since September 1, after the company said it aunched an anti-asthma inhaler in Germany and Sweden that is a generic version of GlaxoSmithKline Plc's Advair. The benchmark index up 1% during the same period.
Surajit Pal analyst at Prabhudas Lilladher recommended a ‘buy’ rating on the stock with a target price of Rs 643.
With approval in Germany and Sweden in generic Advair/Seretide, the company expects Europe to offer large opportunity in respiratory sales in near to medium term. Overall, respiratory market in Europe is Euro 2.5 billion with 30 million patients under 45 years of age.
The management expects a series of launches across Europe in 12?18 months. Cipla also guided for a launch of combination inhalers in a sizeable EU market in H2FY15, says analyst in a report dated September 4, 2014.
Companies likely to sign deals with Gilead are Cadila, Hetero, Strides Arcolab and Mylan, while Cipla is expected to earn active pharmaceutical ingredient (API) rights, a Business Standard report suggests.
In past two trading sessions, shares of pharmaceutical company have rallied nearly 10% from Rs 575, compared to 1% decline in CNX Nifty.
The stock outperformed the market by gaining 23% since September 1, after the company said it aunched an anti-asthma inhaler in Germany and Sweden that is a generic version of GlaxoSmithKline Plc's Advair. The benchmark index up 1% during the same period.
Surajit Pal analyst at Prabhudas Lilladher recommended a ‘buy’ rating on the stock with a target price of Rs 643.
With approval in Germany and Sweden in generic Advair/Seretide, the company expects Europe to offer large opportunity in respiratory sales in near to medium term. Overall, respiratory market in Europe is Euro 2.5 billion with 30 million patients under 45 years of age.
The management expects a series of launches across Europe in 12?18 months. Cipla also guided for a launch of combination inhalers in a sizeable EU market in H2FY15, says analyst in a report dated September 4, 2014.