India's Dr. Lal PathLabs surges on Kotak double-upgrade to "buy"

Metropolis Healthcare

26/03/2024 08:07

** Dr. Lal PathLabs' shares  DLPA.NS  jump 5% to 2,236
rupees
    ** Stock set for its steepest pct rise since early Nov
    ** Kotak Institutional Equities double upgrades to "add"
from "sell", lifts fair value to 2,360 rupees from 1,975 rupees
    ** Brokerage expects improvement in pricing trends for
diagnostics and views new CEO appointment as a positive
    ** Stock tumbled ~13% in 9 sessions since CEO left on March.
4; but has clawed back losses to ~9% since a new CEO was named
on March 17
    ** Still, Kotak's new FV is 3.8% discount to analysts'
median PT, per LSEG data
    ** Analysts avg rating on DLPA is "sell", while it is "hold"
for peers Dr. Reddy's Labs  REDY.NS  and Metropolis Healthcare
 METP.NS 

 (Reporting by Manvi Pant in Bengaluru)
 ((Manvi.Pant@thomsonreuters.com; +918447554364;))