InvestorQ : Why did the stock of Aurobindo Pharma crack sharply in the last few weeks?
Sam Eswaran made post

Why did the stock of Aurobindo Pharma crack sharply in the last few weeks?

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Moii Chavate answered.
4 months ago
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In the midst of the rally in pharma stocks, Hyderabad based Aurobindo Pharma touched a yearly low of Rs.728. The stock has already lost 12% in 3 days and 25% in the last one month. This was especially after relatively disappointing Q1 results showing weak operating performance in the global anti-retroviral market.

For the quarter, revenues were down 3.8 at Rs.5,702 crore with specific anti-retroviral revenues down 30.3% on a yoy basis. EBITDA margins were flat at 21.2%. Aurobindo was hit by its fairly large exposure to the US generics business which is seeing a combination of weak demand and stiff pricing competition.

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