Dr.Reddy's Lab declines on profit selling

Dr.Reddy's Laboratories shed 1.90% to Rs 4,237.65 on profit booking after rising in the past nine trading sessions.

Shares of the drug major have jumped 5.72% in the past nine sessions to end at Rs 4,319.60 yesterday, from its recent closing low of Rs 4,085.85 on 2 August 2022.

The stock had underperformed the market over the past one month, down 5.11% compared with 10.51% rise in the Sensex.

The scrip had also underperformed the market in past one year, falling 9.56% as against Sensex's 8.32% rise.

On the BSE, 39,695 shares were traded in the counter so far compared with average daily volumes of 11,615 shares in the past two weeks. The stock hit a high of Rs 4,250 and a low of Rs 4,136.8 so far during the day.

The stock hit a 52-week high of Rs 5,078.8 on 4 October 2021. The stock hit a 52-week low of Rs 3,655 on 4 March 2022.

On the technical front, the stock's daily RSI (relative strength index) stood at 46.566. The RSI oscillates between zero and 100. Traditionally, the RSI is considered overbought when above 70 and oversold when below 30.

On the daily chart, the stock was trading below its 50-day, 100-day and 200-day simple moving average (SMA) placed at 4,311.44, 4,252.56 and 4,362.75, respectively. These levels will act as crucial resistance zones in near term.

Dr Reddy's Laboratories is engaged in providing medicines. The firm operates in three segments: global generics, pharmaceutical services and active ingredients (PSAI) and proprietary products.

The drug major's consolidated net profit surged 108% to Rs 1,187.6 crore on 6% rise in net sales to Rs 5,215.40 crore in Q1 FY23 over Q1 FY22.

Powered by Capital Market - Live News