Prabhudas Lilladher's research report on Cipla
Cipla has secured its much awaited USFDA approval of gAbraxane following the Goa facility clearance in November 2024, milestone that reinforces our positive stance on the company. Our FY26E and FY27E EPS factors in gAbraxane launch. Looking forward, FY26E and FY27E will see several highvalue niche launches in the US like gAbraxane, Nilotininb, gAdvair along with the normalization of gLanreotide supply. Further, Cipla’s strong net cash position of +$1bn provides flexibility to pursue strategic M&A opportunities.
Outlook
At CMP, the stock is trading at 21x FY27E EPS. Timely launch of critical high-value products in the US in FY26E/27E will be key. We maintain our ‘BUY’ with TP of Rs1,730/share.
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