Many thanks for your reply @hitesh2710 ji.
True! I was skeptical when most AMCs lined up with Pharma funds few months back. They all said that the right time to invest in Pharma have come, but as we say when everyone finds value, value is missing!
I used to think that the pain came because of USFDA surprises, but the root is much deeper. Cracking biologics with generic-like success may not not be possible, because of more complex manufacturing & approval route. Further, the biosimilars are now said to be at a disadvantage compared to biobetters in terms of interchangeability.
It looks like we have lost one defensive sector for indefinite periods.
How do you look at Technology sector now. You said that the Tier I companies are now in favor, as can clearly be seen in their resilience among the onslaughts in the market. In 2016 there were voracious talks regarding structural change of Tech sectors, and many commented that the transition would take much time to complete. However, the sector rebounded promptly within a couple of years, unlike Pharma, which lost its shine at the same time.
Do you think the story of Indian tech farms has remained intact or improved? Or, the pain is not yet over & we won’t see out-performance from this sector as before anytime soon?