JPMorgan has initiated coverage on Anthem Biosciences with a neutral rating and a target price of ₹820, saying the company’s innovation-led contract research, development and manufacturing (CRDMO) model provides strong growth visibility but valuations leave limited room for upside. The company has leading capabilities in small molecule and fermentation manufacturing and is now expanding into high-growth segments such as antibody-drug conjugates (ADCs), peptides, and oligonucleotides.
JPMorgan forecasts a 26% compound annual growth in earnings per share between FY25 and FY28, supported by scale-up in these new businesses. Since its listing on July 21, 2025, the stock has risen 48% from its issue price, compared with a 1% decline in the NSE Pharma Index. However, the brokerage pointed out that Anthem trades at 63 times and 52 times estimated FY27 and FY28 earnings, implying an 18% and 45% premium to Divi’s Laboratories and the broader sector average respectively. At these levels, JPMorgan believes valuations look capped, justifying its neutral stance despite the company’s strong positioning in high-growth markets.
Disclaimer: The views and recommendations made in this article are those of JPMorgan. This article does not constitute investment advice. Investors should consult their financial advisors before making any investment decisions.
