Pharma stocks boost benchmark indices

The stocks of pharma majors continued their upsurge during the pre-lunch trading session on Tuesday. Index pharma stocks, Dr. Reddy’s Laboratories, Cipla, Sun Pharma, Lupin were trading higher by around 3 per cent.

The Nifty Pharma was at 9,366.70 points, up by 2.44 per cent, while the BSE Healthcare index was up 2.03 per cent. At 12:42 hours, benchmark index pharma stocks Dr. Reddy’s Lab was trading at Rs. 2,370.00 per share, up by 4.07 per cent, Sun Pharma was at Rs. 535.85, up 3.76 per cent, Cipla was at Rs. 618.60, up 2.66 per cent and Lupin was at Rs. 847.25, 2.54 per cent.

The stock of Dr Reddy’s Lab was buzzing following an announcement that its Duvvada facility in Vizag has received Establishment Inspection Report from the USFDA. While the broad-based momentum in the pharma sector can be attributed to the recent earning season which witnessed a recovery in the Q2FY18 sales and revenue numbers of pharma companies having a strong revenue base in the domestic market. The drug makers had faced disruptions due to de-stocking ahead of the GST implementation.

Meanwhile, Nifty50 was at 10,351.75 points, up 53 points or 0.51 per cent and S&P BSE Sensex was at 33,564.38 points, up 204.48 points or 0.61 per cent.