Nomura has upgraded Cipla to a “Buy” rating, establishing a target price of ₹1,800, reflecting a 15% potential upside from the current market price (CMP) of ₹1,560. The brokerage highlights Cipla’s favorable risk-reward profile following its relative underperformance compared to the sector.
A positive outcome from the recent Goa inspection has strengthened Nomura’s outlook on Cipla. The firm expects significant growth from Cipla’s inhalers and injectables segments over FY25-27. Additionally, antiretrovirals (ARVs) are anticipated to become a material contributor to revenue beyond FY30.
Nomura projects Cipla’s stock to trade at a forward price-to-earnings (P/E) multiple of 28-33x, excluding revenue from gRevlimid, reflecting confidence in the company’s growth prospects.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult a financial advisor for guidance on investment decisions.
