Lupin Gains Most In Eight Months Despite Q1 Miss In A Volatile Session
Shares of Lupin Ltd. opened lower before surging to end with 5% gains in a volatile session, despite Q1 miss.
Shares of Lupin Ltd. rebounded in a volatile session even after reporting a loss in the first quarter due to higher operating expenses and weakness in the U.S. market.
Lupin Q1 FY23 Highlights (YoY)
Loss of Rs 89 crore against net profit of Rs 542 crore.
Revenue fell 12% to Rs 3,744 crore against the Rs 4,035-crore forecast.
Operating profit stood at Rs 164 crore, down 82%, against an estimate of Rs 412 crore.
Margin contracted to 4.4% from 21.7%. Analysts had projected it at 10.2%.
Shares of the drugmaker fell 4% in early trade but recovered to close with more than 5% gains—the best day in nearly eight months. The trading volume was 16 times the 30-day average, when markets closed.
Of the 42 analysts tracking the company, 11 maintain a 'buy', 15 suggest a 'hold' and 16 recommend a 'sell', according to Bloomberg data. The 12-month consensus price target implies an upside of 3.8%.