Lupin Shares At Eight Year High After Q1 Profit Nearly Doubles, Beats Estimates
The company's net profit surged 78% year-on-year to Rs 805.54 crore for the three months ended June 2024, beating Bloomberg estimated of Rs 564 crore.
Shares of Lupin Ltd. rose to their highest in eight years on Wednesday after first-quarter profit nearly doubled, beating analysts' estimates.
The company's net profit surged 78% year-on-year to Rs 805.54 crore for the three months ended June 2024, according to an exchange filing. Analysts tracked by Bloomberg estimated a profit of Rs 564 crore.
The pharma major posted revenue of Rs 5,600 crore, up 16.3% from the same period last year. Analysts tracked by Bloomberg estimated revenue at Rs 5,226 crore.
Operating income—or earnings before interest, taxes, depreciation, and amortisation—rose 50.1% year-on-year to Rs 1,286 crore. The Ebitda margin expanded to 23% from 17% over the same period last year.
Shares of Lupin rose as much as 6.24% to Rs 2,029.95 apiece, highest over eight years. It pared gains to trade 3.05% higher at Rs 1,968.95 apiece as of 9:47 a.m. This compares to a 1.04% advance in the NSE Nifty 50.
The stock has risen 32.12% in the last 12 months. Total traded volume so far in the day stood at 14 times its 30-day average, rising by 49,94% year-to-date. The relative strength index was 72.65, indicating that the stock is overbought.
Out of 35 analysts tracking the company, 13 maintain a 'buy' and 10 suggest a 'hold,' and 12 recommend a 'sell' according to Bloomberg data. The average 12-month consensus price target implies a downside of 16.7%.
