Lupin (LPC) delivered an in-line 2QFY22 operational performance, led by a healthy double-digit growth in Domestic Formulations (DF) and stable US sales. The company has restructured its US specialty business by taking extensive cost measures. In addition to better sales prospects in DF/US, the cost saving steps will enhance its profitability, going forward. We cut our FY22E/FY23E EPS estimates by 5%/4% to factor in: a) lower API sales, b) slower growth in Europe (EMEA), c) reduced operating leverage, and b) higher raw material costs. We value LPC at 24x 12M forward earnings...