
Bank of America (BofA) has reaffirmed its buy rating on Biocon, increasing the target price to ₹435 from ₹400. The current market price (CMP) of the stock is ₹360, implying significant upside potential.
Key Insights:
- USFDA Clearance:
- The Malaysia facility has now received USFDA clearance, following the earlier clearance of the Bengaluru facility.
- This development boosts confidence in Biocon’s bio-similar launch pipeline.
- Revenue Growth Outlook:
- BofA projects an increase in annualized revenue from $1 billion in H1FY25 to $1.2 billion by FY26, reflecting strong growth potential.
- Pipeline and Focus Areas:
- The company is now focusing on deleveraging and delivering results on new product launches.
- The cleared facilities enhance the outlook for upcoming launches in the bio-similar segment.
Biocon’s steady progress with regulatory approvals and strong revenue projections make it a compelling investment opportunity, according to BofA’s analysis.
Disclaimer: The above information is for informational purposes only and does not constitute investment advice. Please consult your financial advisor before making any investment decisions.