After 10% crash, should you buy this midcap pharma stock?

Blue Jet Healthcare Share Price Target: Shares of midcap pharmaceutical company--Blue Jet Healthcare--sank 10 per cent on Tuesday (July 22). Despite this fall, a global brokerage, Macquarie's analysts are positive on the stock, expecting a 10 per cent upside from this crash.

Analysts at the brokerage have maintained an 'outperform' rating on the pharma stock with a target of Rs 1,000, suggesting 10.35 per cent upside. The brokerage noted that the quarter earnings (Q1FY26) were marred by a one-off inventory charge and adjusted EBITDA and adjusted PAT in line with our estimates.

The management indicated plans for a couple of product launches in the contrast media segment, according to the brokerage.

Tuesday's crash

The Blue Jet Healthcare stock on Tuesday (July 22) decreased 10 per cent, hitting the day's low of Rs 90.6.15 apiece on the NSE. This movement in the stock occurred following the announcement of its Q1 earnings.

Blue Jet Healthcare Q1FY26 Results

The company reported a 17 per cent decline in its net profit to Rs 91 crore against Rs 110 crore posted in Q4FY25.

During the quarter, Blue Jet Healthcare reported revenue of Rs 354 crore, a 4.4 per cent rise — more than double the Rs 162 crore recorded during the same period last year.

The company's EBITDA fell 13.1 per cent quarter-on-quarter to Rs 121 crore. However, this represents nearly a threefold increase year-on-year.

The EBITDA margin contracted by over 700 basis points from the March quarter but showed improvement compared to the same quarter last year.

(Disclaimer: The views/suggestions/recommendations expressed here in this article are solely by investment experts. Zee Business suggests its readers consult their investment advisers before making any financial decision.)