Dr Reddy’s Laboratories Stock Analysis

On: Thursday, January 22, 2026 11:00 AM
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Dr. Reddy’s Laboratories Analyzed

Key Points

  • Shares jumped 4.8% – investors saw good news.
  • Company profits were down 14%, but revenue increased.
  • Analysts mostly think Dr. Reddy’s will do well in the long run.
  • Some concerns about short-term costs and medicine sales.
  • Brokers have different views, some recommend buying, others reducing.
  • Strong growth in India is a positive sign for the future.

Dr. Reddy’s Laboratories, a company that makes medicines, saw its stock price go up a lot – a jump of 4.8%. This means that investors were really excited about the company’s latest news. The stock price reached a high of ₹1,211.50 during the day.

This jump happened after the company shared how they were doing in the last three months (called Q3FY26). People who study the stock market (called analysts) mostly think Dr. Reddy’s will do well over the next few years, even though their profits were a bit lower than last time. There are some worries about costs and how well certain medicines are selling.

Here’s a look at what happened with Dr. Reddy’s in the last three months: They made ₹1,210 crore in profit, which is 14% less than the year before. They sold a lot more medicine – ₹8,727 crore, which is up 4.4% from the previous three months. But, their profit-making part of the business (called EBITDA) was a little lower than before – ₹2,049 crore, compared to ₹2,298 crore.

The stock market as a whole also did well, with the BSE Sensex going up 0.89%. This shows that lots of companies were doing well that day. It’s important to remember that a company’s stock price going up doesn’t always mean the company is doing better; it can also be influenced by what other companies are doing.

Here’s what some experts thought: Emkay Global cut its recommendation to “Reduce” and raised its target price. Motilal Oswal cut its estimate but raised its forecast for the next year. Elara Capital suggested buying because of strong growth in India, and JM Financial believes the company’s future is still promising despite some short-term challenges.

Blockquote: “The most important thing to remember is that stock prices go up and down all the time, and they don’t always tell the whole story about a company’s health.”