Lupin share witnesses a strong rally of 5% after Kotak Institutional Equities’ double upgrade to ‘add
In early trade on Thursday, July 4, shares of pharmaceutical company Lupin gained more than 5% as a result of a double upgrade from brokerage Kotak Securities. The price of Lupin shares opened at ₹1645, up from its previous closing of ₹1630.80. It then increased by more than 5% to ₹1,714.10. At around 10:05 am, the shares, however, pared some gains and traded 2.85 percent higher at ₹1,677.20.
Kotak Institutional Equities (Kotak Securities), a brokerage company, has upgraded Lupin stock from a “sell” to an “add,” increasing the stock’s fair value from ₹1,400 to ₹1,805. This suggests that the stock might rise by around 11% from its previous closing price.
In a statement, Kotak stated, “Our analysis of Lupin’s US portfolio leads us to believe that it is well-poised to surprise positively on Street’s estimates in the US in FY25E/26E. While we remain cognizant of not ascribing a high multiple to one-off earnings, we highlight Lupin has a bunch of products lined up, which will ensure a limited earnings dip in FY2027E after a strong FY2026E.”
“We raise FY25-27E EPS (earnings per share) by 3-16 per cent with our FY25/26E EPS now being 6/13 per cent higher than Street. We double upgrade Lupin to ‘add’ from ‘sell’ with a fair value of ₹1,805,” said Kotak.
At 11:00 am, Lupin shares were trading 5.38% at ₹1718.65.
Disclaimer: The information provided in this article is for informational purposes only and should not be considered as financial advice. The data and figures presented are based on publicly available information and may be subject to change. Before making any investment decisions, it is recommended to conduct thorough research, consult with financial advisors, and consider your individual investment goals and risk tolerance. The author and publisher of this article do not assume any responsibility for any investment decisions made based on the information provided.