Analysts do not see an end to this pain. They say Vodafone Idea s liabilities are much higher than what its profit & loss (P&L) statement indicates. Default is a real risk at the telecom operator, they add, slashing the stock s target to as low as Rs 4, suggesting up to 29 per cent downside.
Price targets for the stock suggest analysts are valuing it at 4.55-5.5 times FY22 EV/Ebitda and a P/B of 1.1 compared with a historical average of 0.7 times. They see 25-63 per cent potential upside for the stock from here on.
ICICI Securities said Lupins performance was below expectations due to a dip in US sales and lower gross margin. It said US sales would remain under pressure and multiple ongoing USFDA issues would weigh on new approvals.