Dr. Reddy’s Laboratories (NYSE:RDY) Reaches New 12-Month Low – Time to Sell?

Dr. Reddy’s Laboratories Ltd (NYSE:RDY) shares hit a new 52-week low on Tuesday . The stock traded as low as $12.81 and last traded at $12.8650, with a volume of 1267119 shares traded. The stock had previously closed at $13.09.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the stock. Weiss Ratings cut shares of Dr. Reddy’s Laboratories from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Friday, February 13th. The Goldman Sachs Group cut shares of Dr. Reddy’s Laboratories from a “neutral” rating to a “sell” rating in a research report on Thursday. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, Dr. Reddy’s Laboratories has an average rating of “Hold” and a consensus price target of $16.90.

Dr. Reddy’s Laboratories Price Performance

The firm’s 50-day moving average is $13.86 and its two-hundred day moving average is $13.88. The company has a market cap of $11.34 billion, a P/E ratio of 17.64, a PEG ratio of 19.84 and a beta of 0.35. The company has a debt-to-equity ratio of 0.03, a current ratio of 1.88 and a quick ratio of 1.38.

Dr. Reddy’s Laboratories (NYSE:RDY) last announced its quarterly earnings results on Wednesday, January 21st. The company reported $0.16 earnings per share for the quarter, hitting the consensus estimate of $0.16. The company had revenue of $969.81 million for the quarter, compared to analysts’ expectations of $963.84 million. Dr. Reddy’s Laboratories had a net margin of 16.41% and a return on equity of 15.89%. Analysts anticipate that Dr. Reddy’s Laboratories Ltd will post 0.63 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of RDY. Morgan Stanley boosted its stake in Dr. Reddy’s Laboratories by 41.2% during the fourth quarter. Morgan Stanley now owns 8,926,051 shares of the company’s stock worth $125,322,000 after buying an additional 2,603,897 shares during the period. Robeco Institutional Asset Management B.V. boosted its stake in Dr. Reddy’s Laboratories by 7.6% during the third quarter. Robeco Institutional Asset Management B.V. now owns 13,084,506 shares of the company’s stock worth $182,921,000 after buying an additional 921,078 shares during the period. Aikya Investment Management Ltd boosted its stake in Dr. Reddy’s Laboratories by 9.3% during the fourth quarter. Aikya Investment Management Ltd now owns 7,338,525 shares of the company’s stock worth $103,033,000 after buying an additional 623,518 shares during the period. Marshall Wace LLP boosted its stake in Dr. Reddy’s Laboratories by 1,699.4% during the fourth quarter. Marshall Wace LLP now owns 516,256 shares of the company’s stock worth $7,248,000 after buying an additional 487,565 shares during the period. Finally, Lazard Asset Management LLC boosted its stake in Dr. Reddy’s Laboratories by 51.8% during the fourth quarter. Lazard Asset Management LLC now owns 1,168,562 shares of the company’s stock worth $16,407,000 after buying an additional 398,537 shares during the period. 3.85% of the stock is owned by hedge funds and other institutional investors.

Dr. Reddy’s Laboratories Company Profile

Dr. Reddy’s Laboratories Ltd. is an India‐based multinational pharmaceutical company that develops, manufactures and markets a wide range of pharmaceutical products and services. Established in 1984 by the late Dr. Kallam Anji Reddy, the company has grown into a diversified healthcare enterprise offering generic and proprietary medicines, active pharmaceutical ingredients (APIs), biosimilars and custom research and manufacturing services (CRAMS). Its portfolio spans therapeutic areas such as oncology, cardiovascular care, dermatology, gastroenterology and pain management.

The company’s core activities include the development and commercialization of cost‐effective generic treatments for branded drugs that have lost patent protection, along with in‐house research into innovative molecule development.