Shares of Lupin Ltd. (NSE: LUPIN) surged 1.57% to ₹2,061.80 in early trade today following the company’s US launch of generic Rivaroxaban 2.5mg tablets (gXarelto). The stock opened at ₹2,049.80, hit an intraday high of ₹2,080.10, and is currently trading above its previous close of ₹2,030.00.
The move comes after Lupin announced the launch of Rivaroxaban in the US market, a drug with estimated annual sales of $446 million, as per IQVIA data. The launch is considered “at risk” since patent litigation is ongoing, with patent expiry in 2039. However, Lupin is one of four first filers for the 2.5mg strength, and analysts believe this could provide an early-mover advantage.
Brokerages bullish on Lupin post-launch
Citi: Buy | Target Price: ₹2,260 (+9.61% upside)
- Lupin’s Rivaroxaban launch could contribute $7-10 million per quarter in a two-player market.
- Sun Pharma’s Taro unit has also received approval and may enter the market soon.
- More competitors may follow, depending on settlements, which could impact long-term gains.
Nomura: Buy | Target Price: ₹2,350 (+13.99% upside)
- Lupin’s launch follows final USFDA approval, slightly ahead of expectations.
- The estimated market size is $125 million at the manufacturer price, despite IQVIA reporting a $446 million brand size.
- The overall Xarelto market (including other strengths) is valued at $2.4 billion in the US, offering room for growth.
Disclaimer: The views and investment recommendations in this article are sourced from brokerage reports and market data. Business Upturn does not provide investment advice. Readers should consult financial experts before making any investment decisions.
