Gland Pharma shares, that listed in November 2020, have surged to ₹3,830 per share currently from its IPO issue price of ₹1,500 apiece, doubling investors money during the period. The pharma stock is also a top stock pick as recommended by Axis Securities in a recent note along with KIMS.
Manufacturing of Covid-19 products like Sputnik-V, Remdesivir act as strong growth in injectables for Gland Pharma whereas US could drive topline change in product mix could improve the margins quarter-on-quarter (QoQ). Improvement in margins to be to lower other expenses, the note stated.
It also expects the pharma company to post stable net profit in Q2 due to lower taxes. Though, the brokerage expects to see a slight decline in overall sales this quarter on a QoQ basis with loss of revenue from Covid-driven product.
For Krishna Institute of Medical Sciences (KIMS), for the second quarter, Axis Securities said that low Covid-patient’ volume could drive low revenue, however, change in product mix could improve the margins on a sequential basis.
Shares of KIMS made their stock market debut in June this year. KIMS shares currently trade at around ₹1,155 per share from its IPO issue price of ₹825 apiece.
India Pharma Market (IPM) grew by 16% that is driven by a volume bounce back and recovery in sales of non Covid-19 products, said brokerage firm Axis Securities in a note on Monday. It expects pharma universe could report high single digit growth (8% YoY), majorly driven by Injectables and Generic segment.
The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.
Never miss a story! Stay connected and informed with Mint.
our App Now!!