The stock of Cipla rose 8.3% to hit a fresh 52-week high of Rs 1,425 after the company reported its earnings result for the quarter ending December. Here are some brokerage’s view on the company:
Jefferies
The broking firm Jefferies maintains “Hold” rating on the stock of Cipla. The brokerage house has target price of Rs 1,210, an upside of 9% from the current market price. Jefferies has a earning per share estimate for FY 26 is of Rs 47.4.
On the risk side, the brokerage house sees “increase in price erosion, delays in launch of gAbraxane and gAdvair, import alert for Indore, and slower India business growth. “
On Monday, the company reported its financial results for the quarter ending December. The company recorded a 32% jump year over year in the net profit to Rs 1,056 crore, which was below Jefferies estimates due to a one time impairment charge of Rs 190 crore. Cipla’s revenue came in at Rs 6,603, up 14% from the same quarter a year ago. However, it came marginally below from the previous quarter.
StoxBox
StoxBox said that the company’s US business “continued to scale newer peaks by posting the highest-ever quarterly revenue yet again.”
StoxBox believes the company will work to build its foundation for growth in the coming time led by: first, being at top in chronic therapies in India; second, Expanding differentiated pipeline in the US business and awaiting approval for one peptide asset launch and four peptide products in FY25; third, strong demand in South African private business; and last, management’s expectations to expand the company’s reach to an enhanced range of therapies and a broader basket of product portfolio.