Shares of Sun Pharmaceuticals Industries were up nearly 2 per cent at Rs 792.85 on the BSE in Wednesday’s intra-day trade, gaining 4 per cent in the past two trading days, after the company launched a novel formulation in cough management, Chericof12 (Dextromethorphan Hydrobromide 30mg and Chlorpheniramine Maleate 4 mg) in India. The stock of the pharmaceutical company was trading close to its 52-week high level of Rs 804.40 touched on August 3, 2021.
Chericof 12, the first prescription cough syrup in India which gives relief for up to 12 hours, is manufactured using Polistirex technology for sustained release of the drug. Chericof 12 is approved for patients of age group six years and above, Sun Pharma said in a press release on Wednesday.
Polistirex Technology involves the complexation of two drugs, Dextromethorphan Hydrobromide and Chlorpheniramine maleate with resins. The resin granules of both drugs are added in suspension to form Chericof 12. Complexation of drugs with polistirex not only provides sustained release but also masks the bitter taste making it more palatable, the company said.
ICICI Securities recommended a ‘buy’ rating on Sun Pharma with a price target of Rs 898 per share in three months. The pharma space has seen healthy correction in the last couple of weeks while broader markets remained buoyant. “We believe the sector is set to resume its next round of upside move after a round of consolidation. Recently, Sun Pharma saw a recovery from its major support of Rs 750-755 levels. We expect fresh longs to follow the recent accumulation in the stock,” analysts at the brokerage firm said in their Quant Pick.
The stock has relatively outperformed most pharma stocks post its quarterly results. Significant delivery-based buying was observed in the stock in the range of Rs 750-760 in the September series and we expect these levels to act as major support for the stock in coming weeks, they added.