Laurus Labs shares spurt 17% from day’s low on the back of heavy volumes, positive outlook

On the back of heavy volumes and a positive outlook, the shares of a mid-cap pharma company – Laurus Labs - jumped almost 17 per cent from the day’s low of Rs 433.2 per share. The stock has gained over 9 per cent to Rs 505.8 per share on the BSE intraday trade on Friday.  

The stock opened negative earlier during today’s session, declining by almost 7 per cent. However, gained as the market comes to an end. At 03:23 pm, the stock was trading almost 8 per cent higher at Rs 499.65 per share on the BSE as compared to a 0.08 per cent fall in the S&P BSE Sensex. 

See Zee Business Live TV Streaming Below:

Around an hour before market close, the trading volumes on the counter jumped over two-fold with a combined 9.9 million equity shares having changed hands on the NSE and BSE.  

In Q3FY22, the company's revenue dipped 20 per cent year-on-year to Rs 1,029 crore due to an impact of continued stocking concern in the anti-retroviral (ARV) business. While the profit after tax (PAT) was down 43.7 per cent YoY at Rs 153.70 crore. Laurus Labs had reported its Q3 results on Thursday. 

According to the mid-cap pharma firm, the Q3FY22 results were impacted by lower sales of ARV, active pharmaceutical ingredients (APIs), and formulations due to stocking at channel partners and it expects improvement from the January-March quarter (Q4). 

“Increase demand for ARV business witnessing commodity customers and formation sales from global multilateral agencies come from Q4 onwards. And we believe that the sluggishness is only transitory in nature and should be normal from – onwards,” Laurus Labs said in a conference call. 

Laurus Labs shares have underperformed the market by falling 20 per cent in the last six months, as compared to a 9 per cent surge in the S&P BSE Sensex despite today’s sharp-up move. The stock had touched a record high of Rs 724 per share on August 12, 2021.