"The stock has effectively doubled from its lows in early 2016; it appears to us that investors' concerns getting allayed is now fairly reflected in the price," said HSBC in a note to clients.
The brokerage firm said that while the warning letter will not impact its earnings estimates, it is certainly a setback to the company's ongoing remediation programs across its facilities.
CLSA said Torrent has made continued progress in its key branded generic markets of India and Brazil, which collectively account for half of its revenues.
The company said it plans to utilise proceeds from the issue for repayment or prepayment of a portion of loans and redemption or earlier redemption of NCDs availed.
In a note to clients, CLSA said cement production declined 13.3% during January, due to a high base and continued demonetisation related pressure.
The brokerage said that robust demand from the domestic steel industry has led to sharp increases in realisations as well as volumes.
India remains one of the most overweight markets and while it may not be the cheapest market, it has high quality companies, said the MD of Aberdeen AM Asia.
Analysts said Warren Buffett’s keen interest in increasing exposure to the aviation sector has led to a sentimental impact on Indian airline stocks.
“We are seeing a spillover effect due to the Warren Buffett effect after he stated that he has bought airline stocks in the US,” said IIFL's Sanjiv Bhasin.
Experts believe investors are currently pricing in a bipolar contest between the Bharatiya Janata Party and the Samajwadi Party-Congress alliance.
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