Solara Active Pharma Sciences surged 11.53% to Rs 1171.25 after a foreign brokerage initiated coverage on the stock with an outperform rating and a target price of Rs 1680 per share.
The brokerage reported said that Solara is among top three pure-play API manufacturers in India. It added that long-term focus and growing presence in Contract Research & Manufacturing Services (CRAMS) suggest strong outlook even beyond FY23.
The foreign research house believe that the company's growth is more sustainable than some of its Indian API peers. It expects the stock to re-rate further courtesy improving margin profile and strong regulatory track record.
Solara Active Pharma Sciences offers a basket of diversified, high-value commercial APIs and contract manufacturing services in over 75 countries. It has a manufacturing base comprising five globally compliant API facilities, with approvals including the USFDA, EU GMP and PMDA in Japan.
The company's net profit jumped 59.4% to Rs 42.28 crore on a 5.5% rise in net sales to Rs 348.42 crore in Q1 June 2020 over Q1 June 2019.
On a year-to-date (YTD) basis, the stock has zoomed 170.29% while the benchmark S&P BSE Sensex has lost 3.60% during the same period.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU