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Sun Pharma gains on higher prices for drugs

Its subsidiary Taro Pharmaceutical Industries has pushed through price increases in three products last week

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Reuters
Last Updated : Feb 22 2013 | 4:07 PM IST

Shares in Sun Pharmaceutical Industries gain 1.8% after Credit Suisse said the drug maker's subsidiary Taro Pharmaceutical Industries has pushed through price increases in three products last week, citing industry checks.

Credit Suisse estimates those three drugs account for 35% of Taro US sales.

The price increases raise sustainable sales estimates for Taro to $680 million versus $640 million earlier for FY 2015, the investment bank adds.

Credit Suisse maintains its "outperform" rating on the stock and raises its target price to Rs 900 from Rs 840, in part by factoring higher sales estimates for Taro.

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First Published: Feb 22 2013 | 1:43 PM IST

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