Rakesh Jhunjhunwala portfolio: Lupin is one of the Rakesh Jhunjhunwala stocks that have been under selloff pressure for the last one month. The pharma stock has tumbled around 15 per cent in the last one month. However, stock market experts are of the opinion that Rakesh Jhunjhunwala holding company is about to give breakout above ₹980 and one should buy this Big Bull-owned stock if the stock manages to give breakout at ₹980 on closing basis. They said that despite weak quarterly numbers Lupin share price may go up to ₹1300 in next 12 months, as the company management has maintained double-digit revenue growth guidance.
Speaking on the fundamentals of this Rakesh Jhunjhunwala portfolio stock; Jitesh Ranawat, Head of Institutional Sales at Marwadi Shares and Finance Limited said, Lupin has witnessed immense price competition from the US markets coupled with low sales in key drugs Albuterol, Famotidine, Levothyroxine and Glumetza. Considering the management guidance that the first half will suffer from pricing erosion in US markets overall pharma companies having higher exposure to US markets have guided for a challenging FY22. The domestic formulation markets and Row markets have seen a good double digit growth.
Highlighting the positives in weak Q1 FY22 results of Lupin; Kunal Dhamesha, Research Analyst at Emkay Global Securities said, Despite weak Q1FY22 numbers, management remains committed to double-digit revenue growth in the US and India businesses. Management expects US revenue to hit $200mn run-rate by Q3 FY22 as it expects sustained ramp-up in Albuterol due to a change in contracting to long-term agreements with 18 to 20 per cent market share.
Unveiling investment strategy in Lupin shares; Rohit Singre, Senior Technical Analyst at LKP Securities said, Lupin may give breakout at ₹980 and once it manages to close above ₹980, the stock might enter a good demand zone. So, one should buy Lupin above ₹980 for the short-term target of ₹1100 maintaining stop loss at ₹980. Singre advised stock market investors to wait for the breakout at ₹900 on closing basis as the pharma stock is currently at ₹953 per stock levels.
Asked about his views on this Rakesh Jhunjhunwala portfolio stock; Kunal Dhamesha of Emkay Global Securities said that one can buy the counter for 12 months target of ₹1300.
Rakesh Jhunjhunwala share holding in Lupin
As per the shareholding pattern of this Rakesh Jhunjhunwala company for April to June 2021 quarter, Big Bull owns 72,45,605 shares of this pharma company, which is around 1.60 per cent of the net company shares.
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