Jefferies has maintained an Underperform rating on Laurus Labs, while raising its target price to ₹590 — implying a downside of approximately 29.8% from the current market price of ₹839.90.
The company’s Q1FY26 performance was ahead of estimates, primarily driven by stronger-than-expected sales in the antiretroviral (ARV) and contract development and manufacturing (CDMO) segments.
However, Jefferies flagged caution based on management’s commentary, which pointed to a declining gross margin trend and showed no clear commitment on the sustainability of the current sales run-rate — keeping concerns around earnings visibility intact.
Disclaimer: This article is based on Jefferies’ brokerage report and does not constitute investment advice. Please consult a certified financial advisor before making any investment decisions.
