HSBC ups Ranbaxy to 'overweight'

Drugmaker to resume production of generic Lipitor for sale in US

HSBC raised its rating on shares of Ranbaxy Laboratories Ltd to 'overweight' from 'underweight' after the Indian drugmaker said it would resume production of a generic version of cholesterol fighter Lipitor for sale in the United States.

HSBC added other factors behind its upgrade were share valuations after a recent correction, as well as the near-term catalysts such as the launch of additional generic drugs and the probability of a recovery in US sales.

Ranbaxy shares were up 3.3% as of 9:34 am.