Torrent Pharma's domestic show remains strong, brokerages turn positive

Progress on US sales will be key for further Torrent Pharma's stock gains

The stock of India’s sixth largest pharma company by market capitalisation shed about 19 per cent post its December quarter results (Q3FY22) in January to its lows in mid-February. The sell-off in Torrent Pharmaceuticals was due to a weak performance in the US generic business and muted near term outlook.

Motilal Oswal Research cut its earnings estimates for FY22/23/24 by up to 13 per cent after the result. This was due to a lack of new product approvals, severe price erosion in the US base business, weak demand at the industry level, higher competition delays in Germany and increased logistic