Aurobindo Pharma’s stock has been under a cloud over the past three months and has corrected 20% during this period. First, there was report of a fire at its Srikakulam unit. The second news was Aurobindo Pharma USA getting named as one of the six companies accused of conspiring to shore up prices of Doxycycline Hyclate DR and Glyburide.
At its current price, analysts say the selling may have dried out. “The negatives are priced in. The company has good visibility, both in terms of earnings and product launches. Most of its plants are cl