The Indian stock market after trading on a positive note in the first half of April 20 have slipped into the red as rising virus cases have put a lid on the confidence of traders and investors. Sensex is up 6.76 points or 0.01% at 47956.18, and the Nifty added 7.30 points or 0.05% at 14366.80.
Nifty Pharma added a percent in the afternoon session led by Dr Reddy's Labs which jumped over 4 percent and is the top index gainer. The stock is in focus after the company said it is going to roll out the Sputnik V COVID-19 vaccine by May-end or early June. Dr Reddy's Laboratories is expecting to roll out the Sputnik V COVID-19 vaccine by May-end or early June, the company's co-chairman and MD, GV Prasad, said on April 20.
The Indian drug regulator had approved the Russian-made vaccine for emergency use earlier this month. Dr Reddy's has tied up with the Russian Direct Investment Fund (RDIF) to import and sell the jab in India.
"We are doing our best to accelerate the import. We hope to get products launched in this quarter itself. We have worked out the cold chain and logistics are in place. We are talking to RDIF to accelerate the shipments here," GV Prasad told CNBC TV-18.
The other gainers included Cadila Healthcare which added 3 percent followed by Aurobindo Pharma, Lupin and Sun Pharma.
S&P BSE Healthcare also gained over a percent with the top gainers being RPG Life Sciences which surged over 16 percent followed by Wockhardt, Moepen Labs, Shilpa Medicare, Pfizer, Fortis Healthcare and Dr Reddy's Labs among others.
Pharma names which have hit new 52-week high on BSE included Apollo Hospitals, Cadila Healthcare, Cipla, Glenmark Pharma and Indoco Remedies and others.
Brokerage firm Motilal Oswal has a buy on Divis Laboratorieswith target price of Rs 4,450. "We reiterate buy on Divis Laboratories, encouraged by promising demand prospects and multiple growth levers," it said.
Nandish Shah, technical research analyst at HDFC Securities has a buy on Indoco Remedies with target price at Rs 350. "This stock has broken out on the daily line chart with higher volumes where it closed at the highest level since February 04, 2021. It has formed a strong base of around Rs 275 where it took support multiple times," he said.