NEW DELHI: Shares of Sun Pharma slipped over 2 per cent in early trade on Wednesday, a day after the company reported disappointing March quarter numbers.The drug major reported a 52.63 per cent drop in consolidated profit at Rs 635.88 crore for the quarter ended March 31.
It had posted a net profit of Rs 1,342.50 crore in the corresponding quarter last year.
Analysts in an ET NOW poll had projected the profit figure to be at Rs 976 crore.
Consolidated Ebitda slipped 39.57 per cent to Rs 1,017 crore during the quarter under review.
The figure stood at Rs 1,683 crore in the same period last year.
Brokerages expressed mixed views on the stock post-March quarter numbers.
Morgan Stanley maintained underweight view on the stock, with a target price of Rs 470.
The global financial firm said US speciality is taking a longer road for the company.
It expects FY20 to be a transition year for speciality business.
UBS retained a buy recommendation on the stock, with a target price of Rs 500, highlighting that the fourth quarter numbers were lower than estimates because of the decline in India revenue.
Reliance Securities too maintained its buy recommendation on the stock but revised the target price downwards to Rs 500 from Rs 535 earlier."We view Sebi-related issues as event-specific risks for the stock in the near-term.
We reduce our PAT estimate by 17 per cent for FY20E and 13 per cent for FY21E owing to higher RD spend and higher marketing spend for specialty segment in the US," said the brokerage.