Shares of Cipla hit a new 52-week high of Rs 739.6 on Friday with the pharma major scheduled to report its April-June quarter earnings today.
Cipla shares opened at Rs 739 and later touched an intraday high as well as new 52-week high of 739.60. Later, the shares fell almost 1% to the day's low of Rs 724.75 against the last closing value of Rs 731.70 on BSE. Cipla stock has fallen after 3 days of consecutive gain.
Cipla stock price is trading higher than 5, 20, 50, 100 and 200-day moving averages. Market capitalisation of the firm stood at Rs 58,7474 crore as of today's closing session.
Cipla stock has risen 1.5% in one week, 14% in one month and 52% since the beginning of this year.
As per brokerages, the pharma company may see its profit dip in Q1 quarter. Many brokerages expect around 30-40 % fall in profit, and flat sales in US markets sequentially.
As per HDFC Securities, Cipla is expected to report a 3.5% increase in revenues at Rs 4,121 crore (YoY), although high base in the US business would impact revenues for the quarter.
Company may register a fall of 9% in profit after tax of Rs 433 crore in Q1FY21. Company's EBITDA is expected to decline 18% YoY to Rs 738cr.
On Cipla's stock valuation, Abhijeet Ramachandran, Independent Analyst/ Co-Founder and trainer at Tips2trade said,"Cipla looks slightly overbought technically as pharma sector has seen an amazing bull run since the past few months. Post the Q1FY21 results announcement, we believe the stock should correct from current levels to 675-680 which should be used by investors to re-enter for higher targets of 755-860 in the near term."
Shares of Cipla ended 0.42% lower at Rs 728.60 on BSE today.