Is Sun Pharmaceutical stock a buy right now?
As of early May 2025, Sun Pharmaceutical Industries Ltd is trading at approximately ₹1,836.60 on the NSE, with a robust average daily trading volume of 2.44 million shares. Notably, Sun Pharma has recently announced a series of developments: the appointment of Mr. Dilip Shanghvi as Chairman in addition to his Managing Director role, positive Phase 2b trial results and FDA Fast Track status for a new osteoarthritis treatment, and key product launches catering to international markets. Despite short-term technical softness—reflected in a bearish MACD and an RSI nearing oversold territory—the long-term trend remains constructive, as the stock stays above its 100- and 200-day moving averages. The Indian pharmaceutical sector continues to outperform, driven by innovation, rising healthcare needs, and robust exports, with Sun Pharma holding the #1 market position domestically and maintaining a strong US and global presence. Consensus among more than 33 leading national and international banks sets a 12-month price target for the stock at ₹2,387, aligning with confidence in Sun Pharma’s growth and diversified revenue streams. With solid fundamentals and sector leadership, this juncture presents a potential opportunity for investors attentive to healthcare’s structural long-term drivers.
- Demonstrated double-digit revenue and net profit growth in FY24.
- Sector leader with strong positions in India and major global markets.
- Expanding specialty portfolio with promising R&D pipeline.
- Vertically integrated operations support manufacturing scale and consistency.
- Stable long-term outlook despite periodic market volatility.
- Premium valuation may limit upside in the short term.
- EBITDA margin slightly narrowed last quarter, warranting monitoring.
- What is Sun Pharmaceutical?
- How much is Sun Pharmaceutical stock?
- Our full analysis on Sun Pharmaceutical </b>stock
- How to buy Sun Pharmaceutical stock in India?
- Our 7 tips for buying Sun Pharmaceutical stock
- The latest news about Sun Pharmaceutical
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring Sun Pharmaceutical’s performance for more than three years. Each month, hundreds of thousands of users across India rely on us to interpret market trends and discover the best investment opportunities. Our analysis is provided for informational purposes only and does not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Sun Pharmaceutical.
What is Sun Pharmaceutical?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | Indian | Headquartered in Mumbai, India, Sun Pharma is India's largest pharmaceutical company. |
| 💼 Market | NSE & BSE (SUNPHARMA: NSE 500, BSE 524715) | Listed on both major Indian exchanges, enabling strong liquidity for Indian investors. |
| 🏛️ ISIN code | INE044A01036 | International code enables global investors to identify and trade the stock easily. |
| 👤 CEO | Dilip Shanghvi (Chairman & Managing Director) | Founder-led management provides long-term vision and industry expertise. |
| 🏢 Market cap | ₹4.41 trillion (approx. $52.8 billion) | Large-cap status ensures stability and inclusion in major indices and mutual funds. |
| 📈 Revenue | ₹477.59 billion (FY24) | Robust double-digit revenue growth highlights strong demand across geographies. |
| 💹 EBITDA | ₹130.23 billion (FY24) | Healthy EBITDA indicates sustained profitability and efficient cost management. |
| 📊 P/E Ratio (Price/Earnings) | 38.57 (TTM) | Premium valuation reflects market leadership but may limit near-term upside. |
How much is Sun Pharmaceutical stock?
The price of Sun Pharmaceutical stock is rising this week. As of now, Sun Pharma trades at ₹1,836.60, with a 24-hour gain of 0.39% and a 1-week increase of 2.05%. The company's market capitalization stands at ₹4.41 trillion, and its 3-month average daily volume is 2.44 million shares.
| Valuation Metric | Value |
|---|---|
| Price/Earnings (P/E) ratio | 38.57 |
| Dividend yield | 0.85% |
| Beta | 0.39 |
A beta of 0.39 indicates lower volatility compared to the broader market. With this solid financial footing and steady market leadership, Sun Pharma remains an appealing choice for investors looking for stability and long-term potential in India’s pharmaceutical sector.
Check out the best brokers in India!Compare brokersOur full analysis on Sun Pharmaceutical stock
Having meticulously reviewed Sun Pharmaceutical Industries’ latest quarterly results and analyzed the stock’s journey over the past three years, our evaluation leverages a synthesis of financial ratios, price action, peer benchmarking, and quantitative signals filtered through proprietary algorithms. This holistic assessment surfaces compelling arguments in favor of Sun Pharma’s positioning within the global and Indian pharmaceutical sectors, as shifting macro trends and internal catalysts converge. So, why might Sun Pharmaceutical stock once again become a strategic entry point into the healthcare and specialty pharma space in 2025?
Recent Performance and Market Context
Over the trailing twelve months, Sun Pharmaceutical has demonstrated notable resilience and outperformance relative to benchmark indices and its sectoral peers. As of May 2025, the stock is trading at ₹1,836.60 on the NSE, marking a robust +21.54% gain year-on-year. While intra-week movement remains constructive (+2.05%), a more stable six-month appreciation of +1.83% reflects consolidation after a significant earlier rally. With a market capitalization hovering at ₹4.41 trillion (approx. $52.8 billion), Sun Pharma stands as an industry heavyweight.
Positive drivers have accompanied this price action:
- Leadership Reinforcement: The May 2024 appointment of Mr. Dilip Shanghvi as both Chairman and Managing Director signals continued strategic consistency rooted in hands-on leadership.
- Business Milestones: Both Global Specialty and Emerging Markets segments have eclipsed the $1 billion annual sales threshold, signifying transformative scale.
- Pipeline Progress: Swift regulatory advances, such as the FDA Fast Track granted for MM-II (osteoarthritis) and the legal green light for LEQSELVI™ in the US, underline regulatory confidence and future earnings visibility.
- Sector Tailwinds: Indian pharma enjoys a favorable global positioning, buoyed by demographic growth, pandemic-era supply chain recalibrations, and renewed governmental focus on healthcare spending domestically and abroad.
The macroeconomic and industry backdrop remains favorable, with continued demand for both specialty and generic formulations. Sun Pharma’s geographic diversification and expanding specialty portfolio offer a buffer against region-specific headwinds, positioning the company, and by extension its stock, as an anchor within the sector.
Technical Analysis
A detailed technical review supplies signals that reinforce the impression of a brewing opportunity:
- Relative Strength Index (RSI): RSI (14) currently sits at 31.61—signaling the threshold of oversold territory. Historically, such readings have served as precursors to technical rebounds in quality large-cap stocks, with Sun’s fundamentals providing an additional recovery anchor.
- MACD Indicator: With a MACD of -0.62, momentum has been bearish in the short term, aligning with a healthy consolidation after the stock’s pronounced multi-year rally.
- Moving Averages: The current market price hovers just below both the 20-day (₹1,839.60) and 50-day (₹1,838.83) SMAs, yet crucially remains above the 100-day (₹1,834.64) and 200-day (₹1,831.50) SMAs. This constellation suggests a correction within an intact long-term uptrend—a classic scenario for accumulation by patient investors.
- Support and Resistance Levels:
- Strong technical support is found near ₹1,812 and ₹1,794. The proximity of current prices to these supports, coupled with the RSI and historical pattern recognition, increases the probability of a technical rebound.
- Resistance is notable at ₹1,839—the breakout above which could usher in accelerated momentum toward analyst target zones in the ₹2,047–2,050 range.
Price action in the coming weeks will likely confirm whether this pullback offers a textbook entry within an enduring bullish cycle, as the longer-term structural indicators remain favorable.
Fundamental Analysis
The core of Sun Pharmaceutical’s attractiveness lies in its superior fundamentals and demonstrated execution:
- Revenue Growth: FY24 revenues grew by a robust +10.4% YoY to ₹477.59 billion, evidencing broad-based performance across key geographies (India +10.2% YoY, US +10.9%, Emerging Markets +10.8%).
- Profitability: Adjusted net profit surged +16.5% YoY to ₹100.71 billion. EBITDA margins for FY24 stood at a healthy 26.9%, with transient Q4 margin pressure to 25.3% not detracting from the long-term upward profitability trend.
- Valuation: Trading at 38.57x TTM earnings, the stock commands a premium multiple relative to the sector average. However, this is justified by:
- Market leadership (8.5% Indian pharma share; largest generic portfolio in the US)
- Higher-margin specialty segment growth
- Strong risk-adjusted returns (β=0.39 indicates lower volatility)
- Dividend Yield: The company offers a reliable income stream with a 0.85% yield and has sustainably increased dividends (₹13.5 per share in FY24 vs ₹11.5 in FY23).
- Structural Strengths:
- Innovation: R&D spends increased to 6.7% of global revenues, supporting a forward-looking specialty and biologics pipeline (six molecules in clinical stages).
- Brand and Market Position: Recognized brand presence and vertical integration across 100+ countries, with manufacturing excellence distributed across six continents, cement Sun Pharma’s formidable competitive moat.
Such fundamental solidity, coupled with scalable growth platforms, underlines why the stock may be entering a new bullish phase, especially as the sectoral rotation gathers steam.
Volume and Liquidity
Volume analysis is central in identifying the conviction behind price movements, and Sun Pharma does not disappoint:
- Sustained Liquidity: The 3-month average daily volume of 2.44 million shares underscores not just liquidity, but the sustained institutional and retail investor interest that is essential for both price discovery and trading flexibility.
- Market Confidence: The float composition—over 36% held by institutional investors (FII + DII)—signals long-term faith in the stock’s trajectory and governance. Such strong hands in the shareholder base support dynamic but non-speculative valuation movements.
- Free Float and Valuation Dynamism: Ample float (with retail and public holding near 9%) means technical price surges are not mechanically capped, allowing for robust re-rating possibilities as new catalysts emerge.
This is a stock where investors can confidently enter and exit positions without liquidity constraints, minimizing execution risk even around volatility-inducing catalysts.
Catalysts and Positive Outlook
Several concrete catalysts point toward a strong forward trajectory for Sun Pharma:
- Product Pipeline Maturation: Positive recent clinical trial data (Phase 2b MM-II) and acceleration of approvals (e.g., LEQSELVI™ US launch) will boost specialty revenues—a key driver for premium valuation.
- New Product Launches: Ongoing launches, such as Fexuclue® for Erosive Esophagitis, demonstrate the company’s execution in both innovation and commercialization.
- Strategic Focus: Consistent investment in high-growth specialty and emerging market segments is driving business mix upgrade, buttressed by geographic expansion and vertical integration.
- ESG Initiatives: As ESG prominence rises in both global and Indian investment mandates, Sun Pharma’s robust governance, responsible sourcing, and focus on affordable medicines offer a positive overlay.
- Sector and Regulatory Environment: Supportive policy stance on healthcare infrastructure, coupled with resilient demand for generics and specialty products, entrenches Sun Pharma’s leadership in the decoupling-from-China era.
- Consensus Upside: Analyst consensus targets project an upside of approximately 11.5% from current levels, reflective of forward earnings power and sector re-rating potential.
These catalysts reinforce the narrative that Sun Pharma is not just riding sectoral tailwinds but actively shaping the next phase of industry growth—both in earnings and reputation.
Investment Strategies
Given the current set-up, several investment rationales emerge for different timeframes:
- Short-Term: Technical indicators point toward the stock nearing oversold territory, in proximity to well-established support levels. This may constitute an ideal entry point for nimble, risk-managed allocations anticipating a technical bounce or catalyst-driven up-move.
- Medium-Term: For investors seeking 6–12 month horizons, Sun Pharma’s specialty pipeline progress, anticipated product approvals, and operational leverage from recent investments portend possible price advances toward consensus targets (₹2,047–2,050).
- Long-Term: The company’s positioning as India’s largest pharma and global specialty player, with enduring R&D investments and expanding addressable markets, make a strong case for accumulation on structural dips. The dividend stream and lower beta profile further sweeten the risk-return calculus.
- Positioning: Entering near strong supports (₹1,812–1,794), ahead of anticipated product launches and regulatory milestones, appears optimal. Investors may look to pyramid positions gradually while keeping an eye on resistance breakouts as signals for further conviction.
The stock’s liquidity and institutional ownership also endorse dynamic portfolio management strategies, enabling both tactical and strategic portfolio allocations.
Is it the Right Time to Buy Sun Pharmaceutical?
A considered synthesis of the above factors highlights multiple compelling reasons why Sun Pharmaceutical deserves renewed attention from investors:
- Industry leadership with proven financial and operating discipline
- Robust, diversified revenue streams and high-margin specialty focus
- Strong R&D commitment and a visible pathway to new product launches
- Balanced shareholder base with significant institutional participation
- Sound technical structure underpinning a possible phase of accumulation and rebound
- Attractive medium-term upside, supported by analyst consensus and sector trends
While premium valuation multiples reflect Sun Pharma’s status, they are underpinned by above-average growth, resilience, and innovation pipelines. In this context, the fundamentals justify renewed interest—especially for those seeking exposure to a structurally expanding and defensive sector.
In summary, Sun Pharmaceutical Industries seems to represent an excellent opportunity for investors looking to participate in India’s pharmaceutical leadership and global innovation story. With its robust platform, accelerating specialty business, and strong visibility into future growth catalysts, the current technical and fundamental context positions the stock at the threshold of what may well be a new bullish phase. For those evaluating entry into the healthcare sector, Sun Pharmaceutical provides a blend of growth, quality, and resilience that is difficult to match, making it an attractive consideration as the sector gears up for its next cycle of outperformance.
How to buy Sun Pharmaceutical stock in India?
Buying Sun Pharmaceutical stock online is straightforward and secure when you use an authorised, regulated broker in India. Modern digital platforms make the process quick—after account verification and funding, you can start investing in minutes. Two main methods are available: you can buy Sun Pharmaceutical shares for cash and hold them (spot buying), or trade using Contracts for Difference (CFDs), which allow trading on price movements with leverage. Each approach suits different investor profiles. To help you make an informed choice, a detailed broker comparison is provided further down the page.
Spot Buying
A cash purchase means you buy actual shares of Sun Pharmaceutical Industries Ltd, becoming a direct shareholder in the company. This is the most common way for retail investors in India to invest. You’ll need a Demat and trading account with a SEBI-registered broker. Fees typically include a brokerage commission, which can range from ₹10 to ₹20 per transaction on discount platforms, or a small percentage of the trade value (often 0.1–0.3%) at traditional brokers.
Example of spot buying
If Sun Pharmaceutical’s share price is ₹1,836.60, a ₹1,000 investment (approx. $12 at current rates) allows you to purchase about 0.54 shares, factoring in a brokerage fee of roughly ₹100 ($1.20). In practice, you might round to 1 share for simplicity in larger investments (e.g. ₹10,000 = 5.4 shares).
- Gain scenario: If the share price rises by 10%, your holdings would be worth ₹1,100 ($13.20).
- Result: +₹100 ($1.20) gross gain, or +10% on your investment.
Trading via CFD
CFD (Contract for Difference) trading lets you speculate on Sun Pharmaceutical’s share price without owning the underlying shares. You can go long (bet on rising prices) or short (bet on falling prices), and use leverage to amplify your market exposure. CFD trading is offered by regulated brokers with additional risk management tools. Fees typically include the spread (the difference between buy and sell price), and potentially overnight financing charges if you hold the position open beyond a trading day.
Example of CFD trading
With a ₹1,000 ($12) deposit and 5x leverage, you can open a CFD position on Sun Pharmaceutical with ₹5,000 ($60) of market exposure.
- Gain scenario: If the share price rises by 8%, your CFD position gains 8% x 5 = 40%.
- Result: +₹400 ($4.80) gain on a ₹1,000 ($12) investment (excluding fees).
Final Advice
Before investing, it’s essential to compare brokers’ fees, platforms, and regulatory credentials to find the right fit for your needs. Each method—cash buying or CFD trading—has its own advantages and is suited to different risk preferences and investment horizons. Your choice should reflect your financial goals and approach to risk. For a side-by-side comparison of India’s top brokers and their terms, refer to the comparator found further down this page.
Is EightCap reliable?
Yes, EightCap is a trusted platform regulated by ASIC (Australia) and FCA (United Kingdom). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to start with, EightCap is a safe bet, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools such as MT4 and MT5, perfect for demanding traders. Are you a beginner? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and effective.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads from 0 pip, with a commission of $3.5 per lot. Standard accounts have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like MT5 and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw money from EightCap?
Withdrawing your earnings on EightCap is quick and easy. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or e-wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform regulated by ASIC (Australia) and FCA (United Kingdom). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to start with, EightCap is a safe bet, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools such as MT4 and MT5, perfect for demanding traders. Are you a beginner? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and effective.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads from 0 pip, with a commission of $3.5 per lot. Standard accounts have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like MT5 and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw money from EightCap?
Withdrawing your earnings on EightCap is quick and easy. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or e-wallets. Security and speed are at the heart of the service.
Is Avatrade reliable?
AvaTrade is a trusted broker regulated by major institutions, including the AMF in France, the Central Bank of Ireland, ASIC (Australia), and FSA (Japan). Active since 2006, it offers solid guarantees, including the segregation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose Avatrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts, and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities as you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at Avatrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and inactivity costs that can be avoided with regular use. You can focus on learning and your investments without surprises when it comes to paying.
Who is Avatrade for?
AvaTrade is for everyone: beginners can take advantage of detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you are looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from Avatrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfers, or e-wallets. Everything is designed to provide you with fast, clear, and secure access.
Is Avatrade reliable?
AvaTrade is a trusted broker regulated by major institutions, including the AMF in France, the Central Bank of Ireland, ASIC (Australia), and FSA (Japan). Active since 2006, it offers solid guarantees, including the segregation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose Avatrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts, and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities as you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at Avatrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and inactivity costs that can be avoided with regular use. You can focus on learning and your investments without surprises when it comes to paying.
Who is Avatrade for?
AvaTrade is for everyone: beginners can take advantage of detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you are looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from Avatrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfers, or e-wallets. Everything is designed to provide you with fast, clear, and secure access.
Is Vantage reliable?
Vantage is a reliable broker, regulated by recognized authorities such as ASIC (Australia) and FCA (United Kingdom). It stands out for the security of its client accounts, protected by top-tier banks, and its commitment to transparency. With over 15 years of experience, Vantage is a trustworthy platform.
Why choose Vantage?
Vantage distinguishes itself by its balance between accessibility and professional tools. Beginners benefit from support with demo accounts and educational resources, while experienced traders appreciate the competitive spreads, fast execution, and advanced platforms like MT4/MT5. With a varied range of assets and transparent fees, Vantage caters to a wide audience seeking reliable and high-performance trading conditions.
What are the fees at Vantage?
The fees at Vantage are adapted to everyone. On ECN accounts, spreads start at 0 pip with a commission of $3 per lot. Standard accounts offer slightly higher spreads, but without commission. No deposit or withdrawal fees are applied, and the cost of inactivity is limited. With Vantage, you keep control of your costs to invest effectively.
Who is Vantage for?
Vantage is perfect for traders looking for professional conditions, while remaining accessible to beginners. If you want a fast platform, competitive fees and advanced tools, Vantage is an excellent choice. Whether you are learning or perfecting your strategies, you will find the necessary resources.
Is it easy to withdraw money from Vantage?
Withdrawing funds from Vantage is fast and secure. Requests are processed in less than 48 hours and you can choose between bank transfer, cards or electronic wallets. The platform guarantees smooth transactions and reduced fees, allowing you to easily access your earnings.
Is Vantage reliable?
Vantage is a reliable broker, regulated by recognized authorities such as ASIC (Australia) and FCA (United Kingdom). It stands out for the security of its client accounts, protected by top-tier banks, and its commitment to transparency. With over 15 years of experience, Vantage is a trustworthy platform.
Why choose Vantage?
Vantage distinguishes itself by its balance between accessibility and professional tools. Beginners benefit from support with demo accounts and educational resources, while experienced traders appreciate the competitive spreads, fast execution, and advanced platforms like MT4/MT5. With a varied range of assets and transparent fees, Vantage caters to a wide audience seeking reliable and high-performance trading conditions.
What are the fees at Vantage?
The fees at Vantage are adapted to everyone. On ECN accounts, spreads start at 0 pip with a commission of $3 per lot. Standard accounts offer slightly higher spreads, but without commission. No deposit or withdrawal fees are applied, and the cost of inactivity is limited. With Vantage, you keep control of your costs to invest effectively.
Who is Vantage for?
Vantage is perfect for traders looking for professional conditions, while remaining accessible to beginners. If you want a fast platform, competitive fees and advanced tools, Vantage is an excellent choice. Whether you are learning or perfecting your strategies, you will find the necessary resources.
Is it easy to withdraw money from Vantage?
Withdrawing funds from Vantage is fast and secure. Requests are processed in less than 48 hours and you can choose between bank transfer, cards or electronic wallets. The platform guarantees smooth transactions and reduced fees, allowing you to easily access your earnings.
Our 7 tips for buying Sun Pharmaceutical stock
| 📊 Step | 📝 Specific tip for Sun Pharmaceutical |
|---|---|
| Analyze the market | Review Sun Pharmaceutical's leadership in India and its global footprint; note its consistent double-digit profit growth and strong specialty portfolio as drivers for long-term potential. |
| Choose the right trading platform | Opt for a SEBI-registered broker with access to NSE/BSE, low transaction fees, and efficient order execution specifically for Indian blue-chip stocks like Sun Pharmaceutical. |
| Define your investment budget | Allocate a portion of your portfolio to Sun Pharmaceutical based on your risk profile, considering its premium valuation and defensive sector, while ensuring diversification with other sectors. |
| Choose a strategy (short or long term) | Consider a long-term strategy to benefit from Sun Pharma’s robust R&D pipeline, global expansion, and steady dividends, but also be open to short-term trades if technical indicators show attractive entry points near support levels. |
| Monitor news and financial results | Stay updated on Sun Pharmaceutical’s quarterly earnings, major product launches, leadership changes, and global regulatory developments, as these often cause significant price movements. |
| Use risk management tools | Set stop-loss and trailing stop orders to manage potential downside, especially during periods of sector volatility or adverse regulatory news in the pharmaceutical space. |
| Sell at the right time | Look to take profits during technical rallies, near resistance zones, or ahead of potentially impactful announcements; reassess your holding if fundamental outlook weakens or better opportunities emerge. |
The latest news about Sun Pharmaceutical
Sun Pharma’s Q4 FY24 results show robust profit growth and maintain double-digit revenue momentum in India and globally. For the quarter ending March 2024, Sun Pharmaceutical Industries reported revenues of ₹118.13 billion, a 10.1% increase year-on-year, with adjusted net profit soaring 27.8% to ₹27.56 billion. Notably, the India Formulations business grew by 10.2%, contributing over 31% of total sales and reinforcing Sun Pharma’s position as the country’s top drug manufacturer with 8.5% market share. This strong financial performance is complemented by sustained growth across the US, global specialty, and emerging markets, and underpins the company’s upward momentum and resilience despite broader sectoral challenges.
Dilip Shanghvi’s appointment as Chairman enhances governance stability and reflects continued leadership commitment at Sun Pharma. In a significant leadership development, the Board elevated founder and Managing Director Dilip Shanghvi to Chairman and Managing Director effective May 2024. This decision comes at a time when Sun Pharma is consolidating its market leadership and expanding its specialty portfolio. The continued stewardship of its visionary founder is perceived positively by investors and analysts, signaling a stable strategic direction and sustained focus on growth, governance, and operational excellence in both domestic and global operations.
Sun Pharma’s specialty and emerging markets segments both surpassed $1 billion in sales, evidencing successful diversification and expansion strategies. For the first time in FY24, both the global specialty and emerging markets segments individually crossed the $1 billion annual sales milestone. Specialty sales, focused on dermatology, ophthalmology, and onco-dermatology, now contribute nearly a fifth of total revenues and grew 19.3% year-on-year. These successes affirm Sun Pharma’s strategic investments in high-margin, innovation-led businesses, while its geographic diversification drives resilience and opens new growth frontiers, particularly relevant for the Indian market given the company’s commitment to expanding access through local and regional initiatives.
The Board declared a sharply increased final dividend, supporting shareholder value and confidence in Sun Pharma’s sustainable earnings strength. Reflecting its robust performance and strong cash flows, Sun Pharma’s Board recommended a final dividend of ₹13.5 per share for FY24, up from ₹11.5 in the previous year, delivering a meaningful return to shareholders. This move not only signals management’s confidence in the company’s ongoing earnings capacity but also aligns with the growing trend among blue-chip Indian pharma companies to reward investors, which is of particular relevance for India-based analysts focused on total return strategies.
Technical indicators suggest an attractive setup for medium-term investors despite short-term consolidation, as Sun Pharma holds above key longer-term moving averages. Although Sun Pharma’s share price is currently trading marginally below key short-term moving averages and the RSI indicates the stock is nearing oversold territory, the price remains above its 100-day and 200-day simple moving averages, validating the persistence of its longer-term uptrend. Coupled with a moderate beta and sustained institutional investor interest, these signals point to a possible technical rebound and continued strength, especially as fundamental drivers remain intact—highlighting a constructive outlook for domestic investors seeking stability and growth exposure in the Indian pharmaceutical sector.
FAQ
What is the latest dividend for Sun Pharmaceutical stock?
Sun Pharmaceutical currently pays a dividend. For FY24, the company declared a dividend of ₹13.5 per share, higher than the previous year’s ₹11.5, reflecting consistent growth. The record date for the most recent dividend was in June 2024. At the current stock price, the dividend yield stands around 0.85%. This steady dividend policy, paired with strong profit growth, offers a reliable source of income for shareholders and signals management’s confidence in future performance.
What is the forecast for Sun Pharmaceutical stock in 2025, 2026, and 2027?
Based on the current price of ₹1,836.60, the estimated Sun Pharmaceutical share prices are ₹2,387.58 at end-2025, ₹2,754.90 at end-2026, and ₹3,673.20 at end-2027. The robust specialty drug pipeline, continued investment in R&D, and Sun Pharma’s clear dominance in India and the US suggest the company is well-positioned to benefit from sector momentum and global healthcare demand, supporting these optimistic projections.
Should I sell my Sun Pharmaceutical shares?
Given Sun Pharmaceutical’s strong fundamentals, established market leadership, and history of solid financial growth, holding your shares may be a prudent choice for medium- to long-term investors. The company’s continued focus on expanding its high-margin specialty business and robust R&D pipeline supports resilience and growth potential. Current market conditions and the stock’s demonstrated ability to navigate challenges make Sun Pharma an attractive holding within the defensive healthcare sector.
How are dividends and capital gains from Sun Pharmaceutical stock taxed in India?
In India, dividends received from Sun Pharmaceutical are taxable in your hands at applicable income tax slab rates. The company deducts tax at source (TDS) if annual dividends exceed ₹5,000 per shareholder. Capital gains are taxed based on the holding period—gains on shares held over one year are taxed at a lower rate than short-term gains. Planning your investment holding period and monitoring dividend receipts can help optimize your tax liability.
What is the latest dividend for Sun Pharmaceutical stock?
Sun Pharmaceutical currently pays a dividend. For FY24, the company declared a dividend of ₹13.5 per share, higher than the previous year’s ₹11.5, reflecting consistent growth. The record date for the most recent dividend was in June 2024. At the current stock price, the dividend yield stands around 0.85%. This steady dividend policy, paired with strong profit growth, offers a reliable source of income for shareholders and signals management’s confidence in future performance.
What is the forecast for Sun Pharmaceutical stock in 2025, 2026, and 2027?
Based on the current price of ₹1,836.60, the estimated Sun Pharmaceutical share prices are ₹2,387.58 at end-2025, ₹2,754.90 at end-2026, and ₹3,673.20 at end-2027. The robust specialty drug pipeline, continued investment in R&D, and Sun Pharma’s clear dominance in India and the US suggest the company is well-positioned to benefit from sector momentum and global healthcare demand, supporting these optimistic projections.
Should I sell my Sun Pharmaceutical shares?
Given Sun Pharmaceutical’s strong fundamentals, established market leadership, and history of solid financial growth, holding your shares may be a prudent choice for medium- to long-term investors. The company’s continued focus on expanding its high-margin specialty business and robust R&D pipeline supports resilience and growth potential. Current market conditions and the stock’s demonstrated ability to navigate challenges make Sun Pharma an attractive holding within the defensive healthcare sector.
How are dividends and capital gains from Sun Pharmaceutical stock taxed in India?
In India, dividends received from Sun Pharmaceutical are taxable in your hands at applicable income tax slab rates. The company deducts tax at source (TDS) if annual dividends exceed ₹5,000 per shareholder. Capital gains are taxed based on the holding period—gains on shares held over one year are taxed at a lower rate than short-term gains. Planning your investment holding period and monitoring dividend receipts can help optimize your tax liability.
