Pharmaceutical stocks are among the notable gainers in the Indian market where movements of stocks from most of the other sectors remain quite sluggish today.
The Nifty Pharma index is up by about 3.2% today. Despite the good performance of the sector so far in the session, most of the stock in the Nifty Phama index are trading near their 52-week lows. The BSE Healthcare index is up 2.6% at present.
Sun Pharmaceutical Industries, the biggest gainer in the Nifty Pharma index today is up 6.6% Rs 521.00. The stock, which had touched a low of Rs 432.70 on 14 August 2017, went on to record a 52-week high of Rs 608.95 in mid-February 2018, retreated after that.
Aurobindo Pharma is up 3% at Rs 565.50 on strong buying at the counter following an announcement from the company that it has received final approval from the US Food & Drug Administration to manufacture Omeprazole Delayed-Release tablets OTC, 20mg. Aurobindo's Omeprazole Delayed-Release tablets are generic equivalent of AstraZeneca's Prilosec OTC tablets. The product will be launched in June 2018.
Omeprazole tablets are indicated for the treatment of frequent heartburn. The estimated market size of Prilosec OTC tablets is US$ 222 million for the twelve months ending March 2018, according to Nielsen data.
Dr Reddy's Laboratories is gaining 4.8% at Rs 2028.70. Lupin and Cadila Healthcare are trading higher by about 4% at Rs 790 and 366.30, respectively. Glenmark Pharmaceuticals is up 2.75%, while Cipla is up 2.05%. Piramal Enterprise and Divi's Laboraries are marginally lower.
Biocon, the outperformer this year from the pharma space, is up nearly a percent today. Biocon may have lost nearly 2% in the last one month, but strong performance over the past one year resulted in a gain of about 84% for the stock.
Divi's Laboratorie is another standout performer, going by the gains it recorded in the last one year. Divi's Laboratoie notched up a gain of over 63% in the year to June 8.
Caplin Point Laboratories (up 10%) is the biggest gainer in the BSE Healthcare index. Ajanta Pharma, IPCA Laboratories, RPG Life, Sun Pharma Advanced Research, Wockhardt, Suven Lifesciences, Merck, Shilpa Medicare, Panacea Biotec, Apollo Hospitals Enterprises and Indoco Remedies are also up sharply.