Buy Cadila Healthcare: target of Rs 530: Sharekhan

Sharekhan's research repor on Cadila Healthcare

Cadila Healthcare Limited (Cadila) reported strong results for the quarter with numbers ahead of estimates. Solid presence in the chronic and sub-chronic segments (which are the key growth drivers for Indian pharmaceutical markets) and an improving outlook for the acute segment provide ample growth visibility for India business. Easing pricing pressures, sturdy new product pipeline, and ramp up in the recent product launches would be key growth drivers going ahead for the US business. Strong growth prospects, sturdy balance sheet, and healthy return ratios would support multiple re-ratings.

Outlook

We retain our Buy recommendation on the stock with a revised PT of Rs. 530.

For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Read More