IPCA surges after string of broker upgrades
Mar 21 2014 , Mumbai
Morgan Stanley says that IPCA's growing India business, ramp-up in anti-malaria drugs and increased capacity for the U.S. market should drive 23 percent compounded annual growth in earnings until fiscal 2016, versus an average 16.3 percent for other Indian healthcare stocks in its coverage.
IPCA has received a slew of recent upgrades from foreign banks, highlighting its improving outlook. Shares are up 18.7 percent so far this year, compared with a 3.3 percent gain in the BSE healthcare index and a 3 percent rise in the BSE Sensex.
Last month, Credit Suisse initiated coverage on IPCA with an "outperform" rating, while CLSA upgraded the stock in January to "buy" from "outperform.