Why did Dr Reddy's shares fall sharply, and what were the main reasons cited by brokerages for cutting earnings forecasts?

Dr Reddy's shares fell as much as 6.9% after at least eight brokerages cut their target prices, citing weaker-than-expected June-quarter results and semaglutide supply disruptions. Analysts highlighted persistent weak core profitability despite branded business growth, and warned that earnings recovery hinges on the successful restart of semaglutide supplies and timely regulatory approval of biosimilar abatacept.

What is the current status of Dr Reddy's semaglutide supply, and how long is the disruption expected to last in key markets?

Dr Reddy's generic semaglutide remains unavailable in India and disrupted in Canada until at least late October, with analysts expecting supply to resume only in November; the company identifies semaglutide as a key growth driver in India and select overseas markets.

Indian drugmaker Dr Reddy's slips on margin, semaglutide supply woes

Jul 22, 2026

Dr Reddy's shares fell nearly 7% as brokerages cut forecasts due to weak margins and semaglutide supply disruptions lasting until late October. Analysts indicate recovery depends on supply resumption and timely biosimilar approvals.

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Indian drugmaker Dr Reddy's slips on margin, semaglutide supply woes

Indian drugmaker Dr Reddy's slips on margin, semaglutide supply woes

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