Gland Pharma shares jump — this is what’s keeping the Street excited

Gland Pharma shares were in high demand on Wednesday, a day after the Hyderabad-based pharmaceutical company said the US Food and Drug Administration (FDA) had completed an inspection at its facility located at Pashamylaram in the city. Gland Pharma shares — traded with the symbol GLAND on bourses BSE and NSE — gained by as much as Rs 34.6 or 3.4 per cent to Rs 1,049.2 apiece on BSE.  

The US drug regulator, which carried out the inspection between June 15 and June 27, issued one observation, according to a regulatory filing.

The pre-approval inspection, to ensure good manufacturing practices, was for seven products.

Gland Pharma said the observation was procedural in nature. It also said that corrective and preventive actions will be submitted to the US regulator within the stipulated period.  

At around 10:40 AM, the stock of the pharmaceutical company was up 2.5 per cent on BSE at Rs 1,040 apiece.  

What analysts say  

“After a correction, there is a sideways move in the stock,” Sumeet Bagadia, Executive Director at Choice Broking, told Zee Business.  

Bagadia expects an upside of Rs 20-23 in the stock with support at Rs 1,040/1,050 levels.  

Elara Capital has a 'reduce' rating on the stock with a target of Rs 1,305 apiece, citing potential risk to earnings and pressure on valuation multiples.  

Gland Pharma share price: Past performance  

Gland Pharma shares have lost 34 per cent of their value in 2023 so far, a period in which the Nifty benchmark has gained four per cent.  

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