Pharma is an outperforming sector at present: Anil Manghnani

The other pack which has been making some moves is the pharma pack, what is happening with midcap pharma, suddenly one of these days you see an Emami or a Strides, the likes of stocks doing exceptionally well, Jubilant Organosys, you like anything out there?

Anil Manghnani: I still think it is an outperforming sector. One or two have lost their leadership, for example like a Ranbaxy has fallen quite sharply but if you look at Cipla or Dr. Reddy's post the first fall when the market fell let's say around 5170 to about 5000, post that they have not really reacted that sharply on the downside, even right up to the fall of 4675 in the Nifty.

Cipla and Dr. Reddy's in the large cap still looks okay. I still maintain, if I were buying, it is not really the pharma, it is more healthcare, kind of hospital business. Fortis went and made a new life high last week. So every fall is still buyable and there is lot of upside momentum and again even an Apollo Hospital to accumulate illiquid but just accumulate and sit quiet.

The long term looks okay, maybe a Bilcare that also looks fine. I am not sure exactly what Bilcare does but otherwise chartically it looks okay. Overall the pack looks fine but you will have to be little more stock specific because right now some of the names like Emami, they are little more illiquid. So difficult to catch the trading moves but as a sector, it is a still maintain its upside.

The expert is Director, Modern Shares and Stockbrokers Limited