Pharmaceutical Stocks Surge as India Grapples with Rise in COVID-19 Cases; Nifty Pharma Index Hits 52-Week High

22 Dec 2023 , 03:36 PM

In the midst of a surge in COVID-19 cases in India, the stocks of pharmaceutical and diagnostic companies experienced a notable uptick, rising by as much as 8% in today’s trading session. 

According to official government reports, India witnessed a spike in Covid-19 infections, with 640 cases attributed to the new sub-variant known as JN.1 on December 22, elevating the total active cases to 2,997.

Within the trading day, the Nifty Pharma index achieved a significant milestone by reaching a 52-week high at 16,500.90, marking a growth of over 1%. 

Piramal Pharma’s stock exhibited an impressive surge of over 8%, hitting a 52-week high of Rs 140.20 on the BSE. Its performance, registering a 16% increase, closely mirrored the benchmark Sensex.

AstraZeneca Pharma also experienced a noteworthy surge, with its shares rising over 8% to reach a 52-week high of Rs 5,193.75. Meanwhile, JB Chemicals and Pharma witnessed a 7% increase, reaching a 52-week high of Rs 1,608.90 on the NSE. Gland Pharma’s shares rose by over 5%, reaching a 52-week high of Rs 1,948.00 on the NSE.

Additionally, key players such as Divi’s Laboratories, Natco Pharma, Glenmark Pharma, and Dr. Reddy’s observed gains of up to 3% intraday. With the exception of GlaxoSmithKline Pharma, Pfizer, Alkem Laboratories, and Aurobindo Pharma, all constituents of the Nifty Pharma index traded with positive momentum, reflecting the overall bullish trend in the sector.