New Delhi, May 14 -- US President Donald Trump's new order poses a challenge to the Indian pharma sector. But there is one pharma company that may thrive in the years ahead. In this article, Equitymaster's co-head of research, Tanushree Banerjee, discusses this and more:

No matter how high the inflation is, their demand is inelastic. No matter how slow the current profit growth is, these companies spend on R&D for future growth.

No matter how stiff the competition is, their patents protect them. No matter how weak the economy is, these companies continue to receive government support.

Pharma companies truly deserve to be called 'defensive stocks' for these reasons and more.

Going by the same logic, pharma stocks should be resilient an...