India pharma rally to sustain on higher earnings, says Macquarie

Ipca Laboratories

12/09/2024 07:57

** Indian pharma stocks  .NIPHARM  have outpaced the broader
market and Macquarie expects the rally to continue due to
expectations of earnings boost
    ** Sees pharma earnings benefitting from steady domestic
growth, benign price erosion in U.S. generics market
    ** Calls Sun Pharma  SUN.NS  its top pick, followed by 
Lupin  LUPN.NS , Cipla  CIPL.NS , Zydus Lifesciences  ZYDU.NS 
and Aurobindo Pharma  ARBN.NS 
    ** Its top small/mid-cap pick is Eris Lifesciences  ERIS.NS 
    ** Brokerage raises target price of 7 of 10 pharma companies
it covers, including Sun, Cipla, Lupin and Aurobindo Pharma
    ** Pharma stocks up 0.7%, with 17 of 20 constituents higher
    ** Pharma stock have jumped 18.4% since July start, vs
Nifty's 4% rise, on steady earnings and higher foreign inflows

 (Reporting by Bharath Rajeswaran in Bengaluru)
 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))