Cipla share price: The company's stock price is likely to remain in focus after the company reported a mixed performance for Q4FY26, with revenue and profitability coming in below expectations due to weakness in the US business and margin pressures.

Despite the softer quarter, brokerages have largely maintained a constructive view on the stock, pointing to strong domestic traction, a gradually improving US pipeline, and long-term growth triggers. Several analysts continue to see meaningful upside potential of up to 22% from current levels, supported by expected recovery in margins, ramp-up in respiratory launches, and steady execution in key markets over the coming years.

Brokerages On Cipla

Motilal Oswal On Cipla

• Maintain Neutral with a TP of Rs 1380 (earlier 1307)
• Weak US flow; strong India show
• US growth to pick up from 2HFY27 onwards
• Product mix and reduced operating leverage drag profitability YoY
• Momentum in DF/SAGA offset by subdued performance in US/EM/API
• Strategic market expansion efforts continue to drive traction
• Reduce earnings estimate by 10% for FY27

Morgan Stanley on Cipla

• Maintain Underweight
• Target price: Rs 1,218
• Revenue and EBITDA miss estimates by 3% and 10% respectively
• EBITDA margin declines 250bps QoQ to 15.2%
• Brokerage cuts FY27 EPS estimate by 10.7%
• US pipeline strengthening with multiple respiratory and peptide filings
• Management guides FY27 EBITDA margin at 18.5-20%
• MS says FY27 remains a transition year for the company

Goldman Sachs on Cipla

• Maintain Neutral
• Target price: Rs 1,350 (vs Rs 1,325 earlier)
• Q4 sales decline 3% YoY due to gRevlimid cliff and supply constraints
• EBITDA margin at 14.6%
• Management aspires to achieve US$1bn exit-rate in US business
• FY27 EBITDA margin guidance lowered to 18.5-20%
• Brokerage revises FY27-29 EPS estimates by -2% to +4%
• GS maintains Neutral citing balanced risk-reward

Citi on Cipla

• Maintain Buy
• Target price raised to Rs1,700 from Rs1,530
• Brokerage says FY27 outlook robust but realistic
• India business grows ~15% YoY in Q4
• US sales at US$155mn despite gRevlimid and Lanreotide phase-out
• Management guides for US$1bn exit run-rate in FY27
• FY27 EBITDA margin guidance at 18.5-20% seen achievable
• Citi says FY28 EBITDA margin can exceed 21% if pipeline execution remains on track
• Brokerage maintains positive stance citing reasonable valuations and visibility on margins and growth

Emkay on Cipla

• Target Price: Rs 1,450
• Revised from: Rs 1,350
• Rating: Upgraded to ADD from Reduce
• TP raised ~7% as downside risk now looks limited from current market price
• Q4 EBITDA margin missed expectations, but gross margin beat was a key positive
• Domestic sales beat driven by in-licensed brands; Emkay says this has been Cipla's growth trend for last 2 years and likely continues in FY27
• US sales were in line, giving comfort on base business ex-Lanreotide and ex-gRevlimid (no negative surprise seen as positive)
• Key concern remains delays in inhalation approvals, but Emkay notes these products are already baked into Street FY27/28 estimates
• FY27 EBITDA margin guidance of 18.5-20% suggests risk of further earnings cuts still exists
• However, stress test for further approval delays shows limited downside from CMP
• Emkay believes once approvals start coming through, stock bottom-catching will be difficult

Nirmal Bang on Cipla

• Target Price: Rs 1,404
• Upside: 5.7%
• Rating: Downgraded to HOLD from BUY
• Q4FY26 performance missed estimates on revenue and EBITDA margins
• Weakness driven by lower Lenalidomide contribution and no Lanreotide sales (regulatory issue at partner site)
• Profitability also hit by higher R&D spends and US manufacturing readiness investments
• India business stayed strong: +15% YoY to Rs 30.1 bn, led by branded Rx, trade generics, and consumer health
• Growth supported by chronic therapies outperformance and differentiated launches
• US business expected to ramp up sharply in FY27, driven by respiratory launches like gVentolin
• Management targets exiting FY27 at ~USD 1 bn US revenue run-rate (ex-Lanreotide), mainly in 2HFY27
• Brokerage remains positive structurally on India + US respiratory pipeline, but sees near-term pressure due to higher R&D and gradual launch ramp-up
• Earnings estimates cut; valuation at 22x FY28E EPS, TP set at Rs 1,404

Nuvama on Cipla

• Target Price: Rs 1,550, Revised up from: Rs 1,280
• Rating: Upgraded to BUY from REDUCE
• Q4FY26 missed consensus: Revenue -2%, EBITDA -10%, adj PAT -23%
• EBITDA margin at 15.2%, below estimates due to higher R&D spend (7.8% of sales) and weak US contribution
• Upgrade driven by valuation: trades at 21x PE, ~15% discount to 1-year average forward PE
• Brokerage sees comfort from FY28 margin outlook, easing capex, and strong net cash balance sheet
• Positive view on high-value / respiratory launch opportunities ahead
• Import alert concerns at Pharmathen Rodopi now seen as addressed
• FY27E EPS revised up by 5%; PE multiple raised to 24x
• Stock currently at 23x FY27E and 20x FY28E EPS