Cipla Ltd.

NSE: CIPLA | BSE: 500087 | ISIN: INE059A01026 | Industry: Pharmaceuticals
| Mid-range Performer
1499.7000 15.70 (1.06%)
NSE Jun 20, 2025 15:31 PM
Volume: 1.9M
 

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Cipla Ltd.
23 May 2019
1499.70
1.06%
HDFC Securities
The worries related to supply constraints, Iran/Yemen geopolitical uncertainty, and raw material prices are either priced in or resolved, in our view. Moreover, Cipla has surpassed its US business guidance of US$ 125mn run rate in 4QFY19. We believe it was crucial for Cipla to cross the US$ 120mn revenue mark to breakeven in the segment. Going into FY20/21E, we expect the US momentum will continue to drive profitability, while launches like gProventil could provide a further boost. Overall, we model 12/16/24% CAGR in revenue/EBITDA/PAT over FY19-21E. At CMP the stock is trading at 26/20x FY20/21E P/E, which is a premium to generic peers. The premium is justified due to a richer mix. We maintain BUY on CIPLA following a modest beat to our estimates. Our TP is revised at Rs 625/sh (22x FY21E EPS). We believe most of the concerns are allayed.
Number of FII/FPI investors increased from 1077 to 1114 in Mar 2025 qtr.
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