Shares of Sun Pharma plunged to a 3-1/2-year low as Q4 profit dropped 14 per cent.
Shares of Sun Pharmaceutical Industries Ltd plunged as much as 12.8 per cent to Rs 494.85, to their lowest since August 29, 2013.
India's largest drug group had reported a 14 per cent fall in March-quarter profit on Friday. The company had also said its US sales might fall this year because of pressure on drug prices.
“Sun is facing a confluence of challenges - lack of new approvals owing to Halol, rising cost structure from speciality build-out/R&D, and erosion in the US business,” Morgan Stanley said in a note slashing its target price on the stock by 32 per cent.
About 12.6 million shares change hands, 3.9 times the 30-day average of 3.2 million.
The stock was on track for seventh straight session of losses; it posted its biggest intraday percentage fall since July 2015.