 "Lupin hits record high")
Shares of Lupin has moved higher by 4.3% to Rs 2,006, also its record high on the National Stock Exchange (NSE), in an otherwise subdued market.
In the past one month, the stock rallied 21% from Rs 1,648 after the company said it has received the final approval for its product, a generic version of Allergan Inc's Lumigan Ophthalmic Solution, from the US Food and Drug Administration (USFDA). The CNX Nifty declined 2%, while CNX Pharma index gained 10% during the same period.
Analyst at Barclays India reiterates ‘overweight’ rating on the stock, as the management expects earnings growth of 20% could be sustained over the next four to five years.
In our view, this confidence in sustained growth and improvement in returns is likely to drive a significant stock re-rating, said analyst in a report dated March 24, 2015.
Other key comments: 1) $5bn revenue guidance reaffirmed, implying a 22% CAGR, with geographic composition to stay the same, 2) M&A may contribute $1bn of the $5bn sales: developments likely in LatAm, and Russian assets looking attractive, per Lupin; 3) Respiratory focus in the US: the company is building a strong platform in its Florida facility and is quite confident of its R&D team's capability, added report.
In the past one month, the stock rallied 21% from Rs 1,648 after the company said it has received the final approval for its product, a generic version of Allergan Inc's Lumigan Ophthalmic Solution, from the US Food and Drug Administration (USFDA). The CNX Nifty declined 2%, while CNX Pharma index gained 10% during the same period.
Analyst at Barclays India reiterates ‘overweight’ rating on the stock, as the management expects earnings growth of 20% could be sustained over the next four to five years.
In our view, this confidence in sustained growth and improvement in returns is likely to drive a significant stock re-rating, said analyst in a report dated March 24, 2015.
Other key comments: 1) $5bn revenue guidance reaffirmed, implying a 22% CAGR, with geographic composition to stay the same, 2) M&A may contribute $1bn of the $5bn sales: developments likely in LatAm, and Russian assets looking attractive, per Lupin; 3) Respiratory focus in the US: the company is building a strong platform in its Florida facility and is quite confident of its R&D team's capability, added report.