Shares of pharma company Lupine, one of the top holdings of veteran investor Rakesh Jhunjhunwala, climbed 4.7 per cent to Rs 1266.35 on Wednesday. Despite the weak market, the stock reached a new 52-week high in intraday trading. Earlier this stock had touched a 52-week high on May 11. At that time this share had increased to Rs 1246.30. In July last year, Lupine’s shares had fallen to Rs 828. This was the biggest decline of this stock in 52 weeks. Since then, the stock has climbed 53 per cent.
Lupine shares likely to rally another 20 per cent
According to the indications of the technical chart, this stock can climb up to 20 percent in the short term. Vishal Wagh, Research Head, Vonanza Portfolio Limited told Financial Express Online that this stock can also touch the level of Rs 1380. Rakesh Jhunjhunwala had 72.45 lakh shares of this company as of 31 March 2021. This is 1.60 per cent of Lupine’s share turnover in volume terms. So far, 2.83 lakh shares of its shares have been bought and sold on BSE. At the same time, 52.91 lakh shares have been sold in NSE.
Lupine’s profits up 18%
Mutual funds held 13.05 per cent stake in Lupine at the end of the January-March quarter (2020-21). He had 5.92 crore shares in it. On the other hand, Foreign Portfolio Investors (FPIs) held 17.87 per cent or 8.10 crore shares. The promoters of the company held 46.58 per cent stake. In the January-March quarter, Lupine’s profit had increased by 18.2 per cent to Rs 460 crore, while its profit in the same period of the previous financial year (2019-20) was Rs 390 crore. Last week, Lupine claimed success in developing a drug for difficult cancer patients. This can also be a reason for the increase in the shares of the company.
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(Article: Surbhi Jain)