Lupin Ltd.

NSE: LUPIN | BSE: 500257 | ISIN: INE326A01037 | Industry: Pharmaceuticals
| Falling Comet
1914.2000 -7.90 (-0.41%)
NSE Jul 09, 2025 15:31 PM
Volume: 1.6M
 

1914.20
-0.41%
HDFC Securities
Following a weak 1HFY19, LPC reported a recovery in 2HFY19, ending the year with a ~6% revenue growth, which is likely to accelerate in FY20-21E. The recent launches of gSynthroid/gAndrogel, monetization of the complex generics pipeline (gProair and bEnbrel), supported by ~20 yearly ANDA approvals will drive ~12% revenue CAGR over FY19-21E. Boosted by high margin products, US base business recovery and easing of raw material prices in India, we expect EBITDA margin to expand 100bps annually. With US$ 60mn Solosec revenue expectation, the specialty spend to the tune of US$ 50mn will also be fully absorbed (~2% of sales) in FY21E. Despite being marred by repeated US FDA issues, LPC's visible levers for both revenue and profitability help maintain our positive stance. India franchise, valued at ~Rs 650/sh, continues to protect the downside risk. We maintain a BUY on LPC following in line operational performance in 4QFY19. Our TP is revised at Rs 930/sh (22x FY21E EPS) following a 10% cut in our FY21E EPS to account for higher tax and slower ramp up in Solosec.
BOB Capital Markets Ltd. released a Buy report for Lupin Ltd. with a price target of 2626.0 on 03 Jul, 2025.
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