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CLSA says Cadila, Dr Reddy’s could be top beneficiaries if turnaround in US generics pricing sustains

Updated : July 19, 2019 11:22 AM IST

CLSA believes Cadila Healthcare and Dr Reddy's Laboratories could be the key beneficiaries if the pricing in the US comes around.
the brokerage house says that the beliefs among investors on a sustained improvement in price erosion from current levels is not strong. This is largely due to the small and mid-sized companies’ active in the US.
Assuming 50 percent improvement in price erosion in FY20-21 from current expectations could boost US revenues FY20-21 by 3-9 percent and earnings by 1-6 percent, the report added.
CLSA says Cadila, Dr Reddy’s could be top beneficiaries if turnaround in US generics pricing sustains
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