Glenmark: Street awaiting fresh triggers

New approvals to launch drugs in US, rebound in growth, reduction in debt are key for upgrades

After Glenmark reported a much better than expected operating performance for December quarter, its stock price too firmed up. However, it has since given up most of the gains. Experts say, for market sentiment to improve further, approvals to launch new drugs in the US, rebound in domestic growth and reduction in debt are crucial.

Glenmark’s strong US performance in December quarter was led by launch of cholesterol reducing drug Zetia on exclusivity, which also led to higher than estimated margin. In fact, there are only a few pharma companies which have beaten street expectations on profitability in December quarter;