Stories
Healthcare and Pharma Shares Extend Decline Amid Pricing Concerns
M
Moneycontrol•05-10-2026, 17:54
Healthcare and Pharma Shares Extend Decline Amid Pricing Concerns
- •Shares of healthcare and pharmaceutical companies fell for the third consecutive session on Monday.
- •The Nifty Healthcare index declined over 4 percent and the Nifty Pharma index lost more than 3 percent during the period.
- •Hospital stocks extended losses following Supreme Court concerns over steep mark-ups on medicines sold by hospitals.
- •Sun Pharmaceutical Industries, Apollo Hospitals Enterprise, Dr Reddy's Laboratories, and Max Healthcare Institute were among the top losers.
- •Brokerage reports indicate that September quarter net profit growth may remain under pressure due to higher financial costs and increased depreciation.
Key Questions Answered
Healthcare and pharma shares fell due to lingering concerns over drug-pricing regulation after the Supreme Court questioned steep mark-ups on medicines sold by hospitals and explored applying a uniform 16 percent margin.
Sun Pharmaceutical Industries, Apollo Hospitals Enterprise, and Dr Reddy's Laboratories were down around 1 percent each, while Max Healthcare Institute fell nearly 3 percent.
Healthcare companies' revenue and EBITDA are projected to rise about 13 percent year-on-year in the September quarter, while net profit growth is estimated to stay under pressure at 5.8 percent due to higher financial costs and increased depreciation.
