Why Cipla Share Price Is Falling Today?

At 1.00 PM on Friday, Cipla share price dropped by 5.19% and was trading at ₹1,418. This drop has contributed to a decline in the BSE Healthcare index. The index has fallen by 3.05%, at 1.01 PM and reached 40,594.82 points. This can be attributed to its vulnerability to US tariffs. As per news reports, nearly 30% of Cipla’s revenue comes from the United States.

Reasons Behind Cipla Share Price Decline

Recent comments from US President Donald Trump have caused the Cipla share price to fall. As per news reports, the US administration is treating pharmaceuticals as a separate sector for tariff imposition. Hence, this has sparked negative investor sentiment.

The BSE Healthcare sector has experienced significant losses today. Other companies have also seen declines. This includes the Aurobindo Pharma share price (-5.90%) and the Lupin share price (-5.43%).

Cipla Share Price Performance Over the Past Year

Over the last year, Cipla share price has witnessed a notable decline. It has fallen from ₹1,488.4 to ₹1,422.3. This represents a loss of ₹66.1, or 4.4%.

In contrast, the BSE Healthcare index has performed positively. It has increased from 35,489.2 to 40,464.7. This is a gain of 14.0% over the same period.

Cipla’s Financial Update

Cipla has reported strong financial results for the recent quarter. For the quarter ended December 2024, Cipla’s net profit grew. It increased by 48.2% year-on-year (YoY) to ₹15,837 million. This compares to ₹10,685 million in the same quarter last year.

Net sales also increased. They rose by 7.1% to ₹70,730 million. This is up from ₹66,038 million in the previous year.

For the year ending March 2024, Cipla reported a significant increase in net profit. It grew by 46.5%, reaching ₹41,553 million. This compares to ₹28,355 million in FY23. The company’s revenue also grew. It increased by 13.3% to ₹257,741 million during FY24.

Conclusion

Cipla share price decline contrasts with the overall growth in the healthcare sector and broader market indices. The company has demonstrated strong financial performance, with significant increases in net profit and revenue. Investors should monitor market dynamics and Cipla’s performance.

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