AGP Limited’s earnings for the fourth quarter of the calendar year 2024 are anticipated to grow by 71% year-on-year, reaching Rs3.63 per share. The growth is primarily attributed to increased prices following the deregulation of non-essential medicines, which was largely implemented in the third quarter of 2024. This marks the first quarter reflecting the substantial impact of this policy shift.

According to a statement by JS Global, the cumulative earnings per share (EPS) for the calendar year 2024 is projected to amount to Rs8.89, representing a 59% increase compared to the previous year. Additionally, AGP is expected to declare a final cash dividend of Rs3.5 per share for the calender year 2024 alongside the earnings announcement.

The stock has experienced a significant rally of 49% over the past three months. However, it has not performed as well as the broader pharmaceutical sector. Analysts suggest that this underperformance might be unjustified, considering AGP’s robust earnings growth prospects and favorable stock valuations.

JS Global has reiterated its Buy rating for AGP, citing a potential 36% upside to a target price of Rs250 by December 2025.