The Lupin stock has underperformed its peers in the recent past with its shares falling 4% over the last month as compared to the 2% gain of the BSE Healthcare index. The Street is a bit worried about competition from US-based generic major Mylan for Lupin’s cholesterol-lowering brand Antara. Mylan recently got the go ahead from the US FDA to launch the generic version of the drug which fetches Lupin an estimated $35 million in annual sales. While Lupin has received an injunction which prevents Mylan from launching the product, an adverse ruling going ahead coupled with launches from Apotex and Dr Reddy’s could impact sales. Bank of America Merrill Lynch (BoA-ML) analysts, S Arun and Arvind Bothra, say that while the possible generic launch is a threat, the same is likely been priced in. Citi analysts believe that the financial impact could be limited to 3-4% for FY14 profit before tax estimates.

><table width='100%' border=0 cellspacing=0><tr><td style='FONT-FAMILY: Arial; FONT-SIZE: 18px; FONT-WEIGHT: bold; COLOR: #0253B7;'>Strong US portfolio to help Lupin sustain growth</td></tr><tr><tr><td style='FONT-FAMILY: Arial; FONT-SIZE: 11px; '>While increasing competition for a key product is a negative, the company

Strong US portfolio to help Lupin sustain growth

While increasing competition for a key product is a negative, the companys broad US portfolio as well as new launches will help offset any potential revenue loss

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