Ajanta Pharma Stock Rises as Jefferies Issues 'Buy' Rating, Predicts 11% Upside

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a experienced an uptick in trading today following the initiation of coverage by global brokerage firm Jefferies. Jefferies assigned a 'Buy' rating to the pharmaceutical company's stock with a target price of ₹2,850, suggesting an 11 percent potential upside from its current trading levels. In its initiation note, Jefferies highlighted Ajanta Pharma's strong execution capabilities, its focused strategy on branded generics, and its robust earnings growth prospects as key reasons for the positive outlook. The brokerage firm emphasized Ajanta's strong position in high-entry-barrier branded generic markets across India, Asia, and Africa, which collectively contribute nearly 70 percent to the company's total revenues. Jefferies noted that this strategic focus differentiates Ajanta from its peers in the pharmaceutical sector. Jefferies lauded Ajanta Pharma's diversified geographic presence, its tailored market-specific strategies, and its consistent execution track record, which have collectively driven steady double-digit growth in both the company's revenues and earnings. “Ajanta Pharma has delivered superior free cash flows, and we expect a robust 19% PAT CAGR between FY25 and FY27,” Jefferies stated in its research note, underscoring the company's strong financial performance and future growth potential.