We ascribe a target multiple of 20x (in line with peers) given high exposure to branded formulations market. We resume coverage on Cipla with a Buy rating and TP of Rs510 based on 20x FY22 EPS. The stock has underperformed the sector by 13% in last one year led by sluggish performance in India and SAGA region (one offs led). Recovery in these markets (56% of revenues, healthy underlying trends) will drive earnings CAGR of 10 % over FY20-22e. At 21x/18x FY21/22 EPS, the stock trades at reasonable valuations.