Sun Pharma Stumbles: Why India's Pharma Giant & Sector Face Headwinds

• Sun Pharma and the Nifty Pharma Index underperformed in 2025, contrasting with Sun Pharma's 6 years of strong returns.
• International business faces challenges from weak gRevlimid volumes and USFDA regulatory reviews, notably the Baska plant's "Official Action Indicated" status.
• Increased R&D expenditure, high operating costs, slow revenue growth, and higher tax burden pressure company performance.
• Domestic market shows stability with new product launches like Cequa, Tyvalzi, Rytstat, and Lyvelsa expected to drive future growth.
• Despite trading at a premium PE, 37 out of 43 analysts recommend 'Buy', viewing the decline as a long-term investment opportunity.

Why It Matters: Pharma sector faces short-term headwinds, but experts see long-term opportunity for Sun Pharma.