Glenmark Pharma surged 14% after announcing an AbbVie-linked licensing deal. Analysts raised their price targets to ₹2,800, citing technical momentum and continued upside potential of nearly 29%.
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Glenmark Pharma Rallies on AbbVie Deal, Targets Revised
Shares of Glenmark Pharmaceuticals rallied approximately 14% to trade above ₹2,100 following news that its subsidiary entered a global licensing agreement with AbbVie for an experimental cancer drug. The stock’s technical indicators are strong, prompting analysts to recommend a “buy on dips” strategy amid hopes of further upside.
One brokerage has pushed the target price up to ₹2,800, signalling confidence in an additional 29% rally, while another valued Glenmark at ₹2,430, citing the AbbVie deal as a pivotal moment in the company’s shift toward innovation-led growth.
Why Analysts Are Upbeat
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Strong technical breakout: The stock broke out of a key gap zone and achieved a new 52-week high, supporting bullish sentiment.
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Valuation boost: The upfront license fee of $700 million reinforces Glenmark’s innovation potential and financial strength.
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Institutional interest: Mutual funds and other financial institutions have aggressively added to their positions, helping fuel the rally.
Sector Implications and Outlook
The collaboration with a major U.S. pharma player enhances Glenmark’s credibility in oncology innovation. Motilal Oswal refers to the deal as ushering in a “new era”, and analysts across the board expect sustained re-rating and interest from global markets. However, some caution that the next resistance may emerge near ₹2,600–2,700 levels.
