By Sapna 
Dr. Reddy’s Laboratories, a prominent pharmaceutical company, has witnessed significant fluctuations in its share price over the years. As of November 21, 2024, its share price stands at ₹1,195, reflecting a notable decline in recent years, particularly since its peak of ₹5,989 in 2021
Over the past five years, Dr. Reddy’s stock has faced challenges, showing a steep decline of around 59%, with a compound annual growth rate (CAGR) of -16.2%. If an investor had placed ₹10,000 in Dr. Reddy’s shares in 2019, by 2024, the investment would have diminished to ₹4,154
This decline can be attributed to several factors, including fluctuations in revenue and market conditions. Despite the downturn, the company’s market capitalization remains robust, standing at approximately ₹99,738 crore as of November 2024
. Additionally, Dr. Reddy’s Laboratories maintains a price-to-earnings (P/E) ratio of 18.7, which indicates a moderate level of valuation relative to its earnings
For those considering investments in pharmaceutical stocks, it’s essential to keep an eye on Dr. Reddy’s future growth potential, especially as it continues its global expansion and diversification into areas like consumer health and biosimilars