Target of 1500 for Dr Reddy's: Anil Rego

ET Now spoke to Anil Rego, CEO & Founder Right Horizons, on his views on stocks.

ET Now: Can you walk us through 2 of the picks that you have within the pharma space, Dr Reddy's and Biocon because in terms of the delay in US FDA new product approvals, do you think that that could impact Dr Reddy's substantially?

Anil Rego: What I am looking at is little bit of longer term. Let me step back and say why am I suggesting pharma at this point of time.

The market being at an inflexion point, it is a good idea to go in for defensive stocks there and even if there are delays, Dr. Reddy's type of companies have a huge pipeline there giving a long term type of pick there. So I would still see that some of these will be overcome.

You will have some release here but eventually, they should have some decent revenues coming in from the US generic market. So I would probably give a price target of about 1500. Dr. Reddy's have a huge pipeline of ANDS. Over the next 2 years, it should do exceptionally well, bullish again because of the US healthcare reforms.