Divi's Labs and Glenmark shares jumped to 52-week highs and the stocks closed near their highs. On technical charts, both the stocks are looking strong. Divi's Labs has potential to go higher as the fundamentals are strong and technical charts suggest bullish trends. Glenmark Pharmaceuticals touched highs at Rs 1843 and closed the session 3.17 percent higher at Rs 1840. Divi's Labs touched high at Rs 6,945. Max Healthcare shares touched fresh 52-week highs but the stock closed 0.4 percent lower for the session.

TopNews Team has conducted a brief analysis of the recent developments impacting Divi’s Laboratories, Max Healthcare, and Glenmark Pharmaceuticals as of July 2025. All the stocks are also good bets for long term holding however long term investors should wait for a decline before taking positions. Please note that it is always good to evaluate all the factors before taking a position in a stock.

Divi’s Laboratories

A. Financial Performance and Dividend

Q4 FY25 Results:
Divi’s Laboratories demonstrated robust financial results for the March 2025 quarter, surpassing analyst expectations. Net profit surged by 23% year-on-year to ₹662 crore, with revenues climbing 12% to ₹2,585 crore. Enhanced operational efficiency pushed EBITDA up 21% to ₹886 crore, and operating margins rose to 34.27%.

Dividend Announcement:
The board proposed a final dividend of ₹30 per share for FY25, pending shareholder approval at the upcoming AGM.

B. Strategic Partnerships and Expansion

Long-term Manufacturing Pact:
In April 2025, Divi’s Laboratories secured a significant international manufacturing and supply deal, projected to generate substantial revenue. This move aligns with its strategy to expand custom synthesis capabilities, supported by a ₹650–700 crore investment in capacity expansion funded internally.

C. Patent and API Supply Developments

Entresto API Opportunity:
As a key supplier for Novartis’ Entresto, Divi’s anticipates earnings of ₹700 crore if generic competition enters the market in July 2025, rising to ₹1,200 crore if delayed. FY25 saw robust earnings from Entresto API, contributing significantly to revenue growth.

D. Stock Performance and Technicals

Recent Stock Movement:
Divi’s shares have displayed a positive trajectory, gaining 4.9% in the past month and 8.3% year-to-date, closing at ₹6,920 on July 4, 2025.

Technical Outlook:
Analysts identify support levels at ₹6,554 and resistance at ₹6,728, highlighting bullish momentum with diverse price targets for 2025.

E. Analyst Recommendations

Consensus View:
The majority of analysts uphold a “Buy” or “Strong Buy” stance, citing robust financials and strategic initiatives. However, concerns about valuation metrics and regulatory risks persist.

Max Healthcare

A. Financial Performance and Dividend

Q4 FY25 Results:
Max Healthcare reported a 29% increase in revenue to ₹2,429 crore for Q4 FY25. Operating EBITDA rose 26% to ₹632 crore, with PAT reaching ₹376 crore, driven by revenue from new units.

Dividend Announcement:
The board approved a final dividend of ₹1.50 per share for FY25, pending shareholder approval.

B. Index Inclusion and Passive Inflows

Potential Nifty 50 Inclusion:
Max Healthcare is a frontrunner for inclusion in the Nifty 50 index, potentially attracting passive inflows up to $400 million, enhancing liquidity and investor interest.

C. Analyst Recommendations and Market Views

Divergent Analyst Opinions:
While some brokerages express caution due to sectoral challenges, technical indicators and volume support favor a bullish sentiment.

D. Strategic and Sectoral Developments

Sector Outlook:
Concerns about sectoral overcapacity and margin pressures influence varied analyst ratings, despite Max Healthcare’s expansion efforts and operational efficiencies.

Glenmark Pharmaceuticals

A. Financial Performance and Growth

Q3 FY25 Results:
Glenmark reported a notable 35.1% YoY revenue growth, with strong margins. The stock reached a 52-week high of ₹1,831.50 in July 2025, reflecting investor confidence.

B. Regulatory and Product Launches

Brukinsa (Zanubrutinib) Launch:
Approval for Brukinsa by the DCGI strengthens Glenmark’s oncology portfolio, addressing significant unmet needs in India’s hematological cancer market.

C. Analyst Recommendations

Consensus View:
Analysts maintain a bullish outlook, anticipating growth driven by new product launches and strategic partnerships, particularly in the oncology segment.

D. Technical and Strategic Outlook

Technical Breakout:
Glenmark’s breakout from consolidation, coupled with positive news flow, supports a “Buy” recommendation for short-to-medium-term traders.