Pharma Stocks Outlook for the week - 18 to 22.05.2015

Pharma Stocks Outlook for the week - 18 to 22.05.2015
(Stocks specific triggers in pharma stocks)

Stocks of major pharmaceutical companies are seen trading based on specific triggers in the absence of sectoral cues, with the Street expecting trade in stocks of GlaxoSmithKline Pharmaceuticals Ltd, Aarti Drugs Ltd, and JB Chemicals & Pharmaceuticals Ltd depending on their Jan-Mar results.

GSK Pharma will report its earnings for the March quarter on Monday, while Aarti Drugs and JB Chemicals will report their financial earnings for the quarter on Wednesday. GSK Pharma Ltd's net profit is seen rising 10% on year to 1.07 bln rupees for the quarter ended
March. The pharma company's net sales are likely to increase 8% on year to 6.46 bln rupees during the quarter.

We expect muted sales growth YoY (in Jan-Mar) on low base. As per (market research firm)
AIOCD, the company's sales growth has underperformed India Pharma market. Shares of some large companies, which reported their results during the week ended yesterday, are also expected to see some corrections based on the results.