Buy Cipla; target of Rs 1100: ICICI Direct

ICICI Direct's research report on Cipla

Cipla is a global pharma company with over 1,500+ products in 65 therapeutic categories, with over 50 dosage forms. Cipla supplies branded and generic medicines to over 170 countries globally. • The Indian branded formulations business accounts for ~40% of revenues and enjoys leadership in therapies like respiratory, anti-infective, cardiac, gynaecology & gastro-intestinal • Cipla derives 21% of its export revenues from the US followed by 12% from South Africa, 5% from Europe and 16% from RoW markets.

Outlook

We maintain BUY as we continue to focus on its core strength of following a calibrated approach of focusing more on core therapies with front-end shift across the world. We value Cipla at Rs 1100 i.e. 24x P/E on FY24E EPS of Rs 44.6 + Rs 31 NPV for gRevlimid.

More Info

At 17:30 Cipla was quoting at Rs 932.15, up Rs 4.30, or 0.46 percent.

It has touched an intraday high of Rs 941.95 and an intraday low of Rs 916.70.

It was trading with volumes of 162,322 shares, compared to its thirty day average of 92,495 shares, an increase of 75.49 percent.

In the previous trading session, the share closed up 2.63 percent or Rs 23.75 at Rs 927.85.

The share touched its 52-week high Rs 1,005.00 and 52-week low Rs 738.25 on 29 September, 2021 and 19 March, 2021, respectively.

Currently, it is trading 7.25 percent below its 52-week high and 26.26 percent above its 52-week low.

Market capitalisation stands at Rs 75,206.88 crore.

For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Read More