Nifty Pharma Posts 54.5% Rise in 1-Year in Sector Outperformance

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Glenmark Pharma Stock was top gainer on Friday in Nifty!

Glenmark Pharma Stock was top gainer on Friday in Nifty! (Image company website)

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With 95% of stocks above 100DMA and leaders like Glenmark and Laurus Labs surging, sector shows sector-wide strength backed by solid volumes and RSI indicators

By S JHA

MUMBAI, July 30, 2025 — The Nifty Pharma index has posted an impressive 54.5% gain over the last one year, currently trading at 23,091.75, according to a sector commentary by StockEdge. Analysts are calling the move a broad-based breakout, supported by strong technical indicators, volume strength, and high delivery percentages, suggesting long-term investor interest.

The Nifty Pharma index is now comfortably above its 50-day and 200-day exponential moving averages, a key technical marker of sustained uptrend, said StockEdge in a note posted on its Telegram channel. It stated that “volume and RSI (Relative Strength Index) are also aligning to reinforce the bullish trend.”

More importantly, StockEdge reports strong index breadth:

  • 85% of pharma stocks are trading above their 20-day moving average (DMA)
  • 90% are above their 50DMA
  • 95% are above their 100DMA

“This is not a rally driven by a few large caps — this is sector-wide participation,” StockEdge noted. It added that “breadth confirmation like this often points to a sustainable rally.”

Top Performing Pharma Stocks (Last 3 Months)

Some of the sector’s best performers have delivered double-digit returns, with a few posting exceptional gains:

  • Glenmark Pharma: +56.4%
  • Gland Pharma: +47.6%
  • Laurus Labs: +47.2%
  • Biocon: +23.5%
  • Abbott India: +15.0%

Momentum Score Snapshot (1M / 3M / 6M)

Momentum scores across timeframes further support the bullish narrative per StockEdge:

  • Zydus Lifesciences: 85 / 82 / 70
  • Mankind Pharma: 88 / 67 / 68
  • Lupin: 87 / 60 / 35
  • Sun Pharma: 83 / 75 / 50
  • Cipla: 78 / 75 / 52

“Short-term momentum is robust across key names, with leaders showing multi-timeframe strength,” StockEdge noted.

Delivery Data Signals Real Buying Interest

“Between July 21–29, delivery volumes ranged between 45% to 65%, pointing to genuine investor accumulation rather than speculative trading activity — a key signal of confidence from long-term investors,” said StockEdge in its note.

Relative Outperformance Against Benchmarks

Nifty Pharma has outperformed broader indices over key timeframes:

  • 3-Month Performance:
    • Nifty Pharma: +6.19%
    • Nifty 50: +6.19%
    • Nifty 500: +4.63%
  • 1-Year Performance:
    • Nifty Pharma: +54.5%
    • Nifty 50: +26.5%

“This level of outperformance highlights the sector’s relative strength and market leadership,” said the StockEdge report.

With strong technical structure, healthy delivery data, and widespread participation, Nifty Pharma is now firmly on the radar of both institutional and retail investors. Analysts are watching for follow-through momentum and upcoming earnings to sustain the rally.

(Disclaimer: This article makes no recommendation for buy or sell of shares of any company)

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