Bank of America (BofA) has raised concerns about structural challenges in the domestic pharmaceutical sector, citing margin risks from slowing volume growth and unaccounted regulatory pricing pressures. In its latest report, the brokerage retained an Underperform rating on Mankind Pharma and Alkem Laboratories, attributing it to operational hurdles and muted growth outlooks.
However, BofA maintained a Neutral stance on Torrent Pharma, recognizing its domestic market focus and applauding its capital allocation strategy and margin-centric approach. The brokerage emphasized that Torrent’s strong fundamentals could help navigate the industry’s current headwinds, unlike its peers.
Disclaimer: This report is based on a brokerage analysis and is for informational purposes only. It should not be considered financial advice. Consult a certified advisor for investment decisions.
