Ranbaxy, Cipla and Glenmark may go up by 20-25% in longer term: K R Choksey Securities

In a chat with ET Now, Deven Choksey, MD, K R Choksey Securities, shares his views on pharma sector.

ET Now: What is your call on the entire pharma pack, do you think the tilt is going to be towards defensives this week as well?

Deven Choksey: Some of the pharma companies particularly Cipla, where you are having a larger amount of formulation capacities now being utilised towards the generic exports and A&D that they have in their pipeline is suggesting that going forward this particular momentum will continue into the business. Cipla kind of company remains quite sure shot as far as your pharma bet is concerned.

Ranbaxy, of course, the most amount of vulnerability is due to the forex issues in the balance sheet but if rupee starts showing the signs of appreciation even that factor would be discounted and probably even Ranbaxy would come in limelight.

So we would think that Ranbaxy, Cipla and Glenmark kind of companies would have a scope to go up by around 20% to 25% again in next 12 to 18 months time from now.