Laurus Labs shares are up 100% in the last 12 months and Motilal Oswal sees further upside Shares of Laurus Labs Ltd. rose on Thursday, February 26, as brokerage firm Motilal Oswal expressed confidence in the stock’s performance. The firm reiterated its 'buy' rating on the company, setting a price target of ₹1,280 per share. This target represents an 18.9% potential increase from the stock’s previous closing price, marking the highest estimate among analysts. Motilal Oswal highlighted the company’s strong execution compared to its peers in the contract development and manufacturing organization (CDMO) sector. The brokerage noted that Laurus Labs has delivered 30% year-over-year growth and maintained a 26% EBITDA margin in the first nine months of the current fiscal year. This performance is attributed to the company’s expansion in the CDMO and formulation segments. The brokerage also projected that Laurus Labs will achieve a Profit After Tax (PAT) of ₹850 crore by the end of the financial year 2026, with forecasts of ₹1,150 crore by 2028. These figures imply a compounded annual growth rate (CAGR) of 16% over the period. Motilal Oswal emphasized that the company’s ability to outperform peers is due to its resilience amid industry challenges, including program delays, destocking, and slower commercial conversions faced by some competitors. The analysis noted that while the CDMO sector has experienced an uneven recovery, Laurus Labs has demonstrated stronger financial results. The firm’s confidence is further supported by the company’s scale-up in key business areas, which has contributed to its improved margins and growth trajectory.#motilal_oswal #laurus_labs #cdmo_sector #pharmaceutical_sector #biotechnology_sector
Laurus Labs Share Price in Focus: Motilal Oswal Reiterates ‘Buy’ Rating with Rs 1,280 Target Laurus Labs has received a ‘Buy’ rating from Motilal Oswal Financial Services, with the brokerage firm setting a target price of Rs 1,280 for the stock. The recommendation is based on the company’s strong execution and its robust growth trajectory, which has outperformed industry peers. Laurus Labs reported a year-on-year revenue growth of approximately 30% in the first nine months of fiscal year 2026, driven by improved EBITDA margins of around 26%. This margin expansion reflects better operating leverage and a shift toward higher-margin business segments. The brokerage highlighted the company’s expansion in the CDMO (Contract Development and Manufacturing Organisation) and formulation businesses as key growth drivers. These segments have helped mitigate volatility in other parts of the business and contributed to improved profitability. Motilal Oswal noted that Laurus’s strategic investments in capacity creation over the past few years have positioned it to capture opportunities from global innovator clients. The firm expects the company’s new capacities to stabilize and improve utilization, further enhancing margins through operating leverage. Laurus Labs is transitioning toward a more diversified business model, reducing reliance on any single therapy or geographic market. The brokerage anticipates sustained earnings growth in the medium term, fueled by the scaling up of high-value CDMO projects and progress in the formulations business. Motilal Oswal projects that the company will close fiscal year 2026 with a profit after tax (PAT) of Rs 8.5 billion, supported by continued revenue momentum and margin resilience.#motilal_oswal #laurus_labs #cdmo #formulation_business #fiscal_year_2026
Laurus Labs eyes fresh rally as stock respects 20-DEMA support: Shivangi Sarda Laurus Labs stock is currently respecting its 20-day Exponential Moving Average (DEMA) and is showing signs of preparing to break out of its upward-sloping channel. Analyst Shivangi Sarda from Motilal Oswal Financial Services Ltd suggests that traders can consider buying the stock with a target price of Rs 1,120 within the next 2-3 weeks. The analyst highlights that the stock’s technical indicators are aligning to signal a potential upward breakout, which could lead to a significant rally. Sarda’s assessment is based on the stock’s recent performance relative to key support levels and its broader market trends. She emphasizes that the current consolidation phase is a setup for a stronger move higher, provided the stock sustains its position above the 20-day DEMA. Traders are advised to monitor the stock’s interaction with the 20-day DEMA as a critical level for confirmation of the breakout. The analyst also notes that the broader market environment, including macroeconomic factors and sector-specific dynamics, will play a role in determining the stock’s trajectory. However, the immediate focus remains on the technical setup and the potential for a short-term rebound. The recommendation comes amid a mix of market conditions, with investors balancing optimism about corporate earnings and economic recovery against concerns over global risks and interest rate volatility. Sarda’s analysis underscores the importance of technical patterns in gauging short-term opportunities, particularly in a market where sentiment can shift rapidly based on key technical levels.#stock_market #motilal_oswal_financial_services_ltd #laurus_labs #shivangi_sarda #20_day_dema
