Cipla shares soar 4% today: Here are key factors behind the rally

“…the Company has received final approval from the USFDA for the Abbreviated New Drug Application (‘ANDA’) submitted for Paclitaxel Protein-bound Particles for Injectable Suspension (albumin-bound), 100 mg/vial, Single-Dose Vial (‘Protein-bound Paclitaxel’) on 10th April 2025,” Cipla said in a statement to the stock exchanges.

Shares of Cipla opened Friday’s session up 4.47%. At 11:14 AM, the stock was trading at ₹1,455.60 per share, gaining as much as 2.83% on the National Stock Exchange.

Cipla explained that protein-bound paclitaxel is an AB-rated generic therapeutic equivalent version of Bristol Myers Squibb’s Abraxane® for Injectable Suspension 100 mg/vial.

Paclitaxel is indicated for the treatment of metastatic breast cancer, locally advanced or metastatic non-small cell lung cancer (NSCLC) and metastatic adenocarcinoma of the pancreas.

The drugmaker said that the product is expected to be launched in H1 FY 2025-26 in the USA.

Investors also showed interest in Cipla shares after the US announced the suspension of the additional tariffs of 26% imposed on India for 90 days, till July 9.

President Trump had said, "Pharma tariffs are going to come in at levels you have never seen before. We are looking at pharmaceuticals as a separate category. We will be announcing that sometime in the near future and not too distant future. It’s under review right now.”

But the halt in tariffs brought some relief to the sector.

Shares of Cipla opened at ₹1,460 apiece and touched an intraday high of ₹1,488.50 on the NSE.

Its market capitalisation stood at ₹1.17 lakh crore.

Meanwhile, in the last six months, since October 11, 2024, Cipla shares have tanked 8.82%, while year-to-date the stock has lost 4.8%.

Cipla had reported a 48.76% jump in consolidated net profit at ₹1,570 crore for the third quarter ending December 31, 2024 (Q3 FY25). The company had posted a consolidated net profit of ₹1,056 crore during the same period last fiscal year.

Its consolidated total revenue from operations during the reporting quarter grew 7.1% to ₹7,072.97 crore as against ₹6,603.81 crore in the year-ago period.

The firm’s EBITDA for Q3 FY25 rose 15.7% to ₹1,989 crore as compared to ₹1,720 crore in the same quarter last year.