This Pharma Giant's Shares Are Up After Jefferies Sees 16% Upside On The Back Of Expanding US Exports

Mankind Pharma shares surged on Friday following positive remarks from global research firm Jefferies, which remains bullish on the Indian pharmaceutical giant after impressive Q4 financial results.

What Happened: The company reported a significant 62.3% increase in its profit after tax (PAT) for the March quarter, rising to ₹477 crores from ₹294 crores in the same quarter the previous year. Revenue from operations also saw a robust growth, jumping 18.9% year-on-year to ₹2,441 crores from ₹2,053 crores in Q4FY23.

Additionally, Mankind Pharma's EBITDA for the quarter surged by 41.9% year-on-year to ₹591 crores from ₹417 crores in the corresponding quarter of FY23.

See also: Zoho Ventures Into Chipmaking With A $700 Million Investment Plan

Jefferies highlighted that Mankind Pharma's fourth-quarter results for 2024 exceeded its expectations due to strong margins. The brokerage is optimistic about the company's FY25 guidance, noting benefits from expanding exports, particularly in the US, and growth in modern trade in India. Jefferies also pointed out that Mankind Pharma's mergers and acquisitions (M&A) strategy focuses on areas with high entry barriers and strong financial discipline.

Reflecting this positive outlook, Jefferies upgraded its rating on Mankind Pharma’s stock from ‘Hold’ to ‘Buy’ and raised its price target from ₹2,010 to ₹2,430, suggesting a 16% upside from Thursday’s closing price.

Price Action: Mankind Pharma shares were up 1.73% at ₹2,128.65 on Friday morning shortly after markets opened for trading.

Read next: M&M Shares Hit All-Time High After Q4 As 7 Brokerages Raise Target Price

Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.

Posted In: EarningsNewsUpgradesPrice TargetAnalyst RatingsMankind Pharma