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Pharma Sector on a Turnaround, Shows Signs of Booming In March 2009, the Pharma Index was trading at 2020. For the next 6 years until March 2015, Pharma had a continued rally to make a high of 14,020. Thereafter in March 2016, the Pharma Index witnessed highest correction in 7 years to make a low of 10,353. Currently it stands at 11,100. The Pharma Sector has been all-time performer. However, the recent USFDA inspections have caused a few hiccups leading to correction. As most Pharma companies export in bulk and Rupee is currently at its all-time low (Dollar appreciation against Rupee), the Pharma sector has witnessed buying and profitability. Rise in share price of major Pharma companies post Budget (since Feb 2016): Stocks ASTEC RPG LIFE JUBILANT BROOKS LAB THEMIS MEDICARE PIRAMAL PHYTOCARE BIOCON CAPLIN POINT NEULAND LAB HESTER BIOSCIENCES PIRAMAL ENTERPRISES HIKAL SHILPA MEDICARE DISHMAN

Current Share Price (in Rs.) 598.55 502 711.9 149.1 596.3 100 925.05 368 1009 715.5 1673.7 225 664.9 239.15

Rise in share price (%) 237.12 141.06 133.26 109.26 108.31 104.29 97.03 95.91 92.72 85.8 84.31 80.14 67.29 60.67


MERCK AMRUTANJAN SYNGENE NATCO PHARMA JB CHEMICALS ORTIN LAB AJANTA PHARMA LAL PATH LAB AARTI DRUGS ALKEM LABORATORIES UNICHEM LINCOLN PHARMA GUFIC BIOSCIENCES PANACEA BIOTEC MARKSANS PHARMA CADILA SMS PHARMA STRIDES SHASUN DIVIS LAB SPARC FDC GLENMARK KOPRAN BAL PHARMA SUVEN PARABOLIC DRUGS VENUS REMEDIES KILITCH DRUGS AUROBINDO PHARMA TORRENT PHARMA COUNTRY CONDOS IND SWIFT CIPLA SYNCOM HEALTHCARE BAFNA PHARMA FORTIS ALCHEMIST IND SWIFT LAB BLISS GVS DR REDDYS JAGSONPAL PHARMA ALEMBIC PHARMA ALEMBIC TTK HEALTHCARE GRANULES

998 559.4 580.3 607.3 350.25 21.75 1862 1180 637.5 1715 266.9 197 48 124.25 44 396.4 97 1098 1169.75 316 216.35 878.3 50 102.3 180.75 7.35 98 38.5 741.65 1420.45 4.3 6 570 6.7 29.3 179 22.4 38.1 157.4 3206 34.8 649.15 35.65 901.2 109.15

52.77 47.91 46.73 46 44.64 43.09 43.01 42.74 38.03 35.61 34.73 34.52 27.83 27.83 26.26 26 25.08 24.84 23.06 22.41 20.13 19.39 18.91 18.27 18.1 17.6 17.08 16.31 13.12 12.64 11.69 11.11 10.86 10.74 7.13 6.96 6.67 6.57 6.21 5.59 5.14 5.03 3.94 3.34 2.73


SANOFI INDIA WANBURY IPCA ABBOTT INDIA ARVIND REMEDIES

4391.2 39.55 572.35 4846.05 4.65

1.7 1.41 1.35 1.25 1.09

The Indian pharmaceutical sector has the potential to grow and increase to the size of 300 billion dollars by the year 2030 from the current 15 billion dollars provided it accords high priority on quality and R&D - research & development, chief executives of top pharmaceutical companies stated. They said that the Indian firms must foster innovation and develop products for the benefit of the patients adding that companies must address quality compliance challenges and inculcate quality culture in the organisations to develop high quality medicines for all the markets. Conclusion: The Pharma Sector is showing a turnaround and many Pharma stocks are hitting 52 week highs. It was only today that Syngene share price touched 52 week high. This is creating an opportunity for other Pharma stocks to do well since the entire sector is performing well. It is an excellent time for Pharma stock lovers to invest. Dynamic Levels Research Analysts have recommended the following multibagger Pharma stocks which can be great for investment: Jubilant Syngene Hikal Neuland Lab RPG Life Piramal Enterprises Lincoln Pharma


Disclaimer The investment advice or guidance provided by way of recommendations, reports or other ways are solely the personal views of the research team. Users are advised to use the data for the purpose of information and rely on their own judgment while making investment decision. Dynamic Equities Pvt. Ltd - SEBI Investment Advisory Reg. No.: INA300002022

Disclosure Dynamic Equities Pvt. Ltd. is a member of NSE, BSE, MCX SX and a DP with NSDL & CDSL. It is also engaged in Investment Advisory Services and Portfolio Management Services. Dynamic Commodities Pvt. Ltd., associate company, is a member of MCX & NCDEX. We declare that our activities were neither suspended nor we have defaulted with any stock exchange authority with whom we are registered. SEBI, Exchanges and Depositories have conducted the routine inspection and based on their observations have issued advise letters or levied minor penalty on for certain operational deviations. Answers to the Best of our knowledge and belief of Dynamic/ its Associates/ Research Analyst: DYNAMIC/its Associates/ Research Analyst/ his Relative: Do not have any financial interest / any actual/beneficial ownership in the subject company. Do not have any other material conflict of interest at the time of publication of the research report Have not received any compensation from the subject company in the past twelve months Have not managed or co-managed public offering of securities for the subject company. Have not received any compensation for brokerage services or any products / services or any compensation or other benefits from the subject company, nor engaged in market making activity for the subject company Have not served as an officer, director or employee of the subject company

Article Written by Salman Hashmi

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