Nomura has maintained a “Neutral” rating on Sun Pharmaceutical, setting a target price of ₹1,850, suggesting a slight downside from the current market price (CMP) of ₹1,860. This follows the recent development where the New Jersey District Court granted a preliminary injunction sought by Incyte Corp, preventing Sun Pharma from launching its alopecia areata treatment, Leqselvi, which received approval from the US FDA in July 2024.
Sun Pharma has announced its intention to appeal the District Court’s decision, and Nomura has assumed a potential launch of Leqselvi in FY25. The brokerage has factored in revenue projections of $10 million, $80 million, and $150 million for FY25, FY26, and FY27, respectively, from Leqselvi. Nomura estimates that the earnings impact from this product will be 0.4% in FY25, 3.1% in FY26, and 5.2% in FY27.
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