Lupin looks fairly valued, could rise another 4-5%: Mayuresh Joshi

In a chat with ET Now, Mayuresh Joshi - Fund Manager, Angel Broking, shares his view on Lupin.

ET Now: What is your view on Lupin?

Mayuresh Joshi: Clearly, the price hike in Fortamet will incrementally add to the earnings of the company. On the Ebitda front, you will see some accretion happening on how margins will pan out for the company.
The ANDA pipeline has been extremely strong and though it disappointed in terms of no approvals coming through in the quarter gone by, they have got almost 213 applications done, of which there are 35 FTF. So, the drug maker has got strong pipeline.

What really needs to be seen is how the earning trajectory for the company will pan out. In our view, the company would see a decent topline growth of 17-18 per cent over the next two years. However, in terms of valuations, the catch-up in terms of an FY16 perspective is more or less in the price. So another 4-5 per cent move on the upside is not ruled out, but the stock seems to be fairly valued at this point of time.