India's Divi's Labs gains as Citi hikes PT citing weight-loss drugs' prospects

India's Divi's Laboratories DIVI.NS gains 5% to 6,228.50 rupees

DIVI's proposed 18MT capacity and a fully integrated infrastructure for tirzeptide, the active ingredient for Lilly's blockbuster Mounjaro, will give DIVI a competitive edge over rivals, says Citi

Brokerage hikes PT on active ingredients maker to 7,050 rupees from 6,850 rupees

U.S. drugmaker Eli Lilly's LLY.N oral weight-loss drug orforglipron is the next addition to DIVI's pipeline, which is a "big one", says Citi

Drugmaker has so far announced a capex of $170 mln, which CITI believes is primarily for GLP-1 class of weight-loss drugs

DIVI second-biggest gainer on Nifty pharma index NIPHARM which is up 1.2%.

Brokerage calls DIVI its "top pharma pick" and forecasts over $800 mln revenue by 2030 from GLP-1s

Avg rating of 21 analysts on DIVI at "hold"; median PT is 5,737.50 rupees - data compiled by LSEG

DIVI up 2% YTD vs pharma index's 6% decline