Investec has reiterated its Buy call on Cipla with a target price of ₹1,900, indicating a potential upside of 15% from the current price of ₹1,658.00. The brokerage remains optimistic about a 12-13% growth in the Indian Pharmaceutical Market (IPM).
Cipla’s Goa plant is expected to receive classification from the USFDA in the next 1-2 months, which could be a significant boost. The company’s biosimilar joint venture with Kemwell has two products under development, signaling future growth opportunities.
Cipla is also active in mergers and acquisitions, although current valuations are stretched. Additionally, Investec sees a huge opportunity for Cipla in the GLP-1 (glucagon-like peptide-1) space, which plays a role in regulating blood sugar and energy intake.
Disclaimer: This information is for informational purposes only and should not be considered investment advice. Please consult a financial advisor before making any investment decisions.
