Mumbai, Nov. 20 -- The brokerage reduced Biocon's target to Rs 360 from Rs 430, implying a downside of 12.20% from the previous close of Rs 410. It said the company's valuation has become expensive.

The broker trimmed valuation multiples across key business segments. The biosimilars business multiple was cut to 14x EBITDA from 20x, citing deteriorating market conditions and evolving USFDA guidelines. The generics division multiple was reduced to 14x from 16x due to weaker margins.

The brokerage acknowledged Biocon's strong global position in biosimilar R&D and execution, but warned that pricing pressure and an increasingly crowded competitive pipeline may hold back sales and keep earnings below earlier expectations.

Biocon is a global ...