Vijaya Diagnostic shares slip further amid broader market correction

New Delhi(The Uttam Hindu): Vijaya Diagnostic Centre Limited’s stock came under pressure on Friday as part of the broader market correction, ending the day lower by Rs 26.15 apiece or 2.7 per cent at Rs 944.55 on the National Stock Exchange (NSE). Over the past five days, the stock of Vijaya Diagnostic has slipped by Rs 33.35 or 3.41 per cent. The trend has been negative for the past month as well, with the company’s shares falling by Rs 51.90 or 5.21 per cent during this period. Looking at a slightly longer horizon, the stock of one of the leading diagnostic centre chains has been down by Rs 44.65 or 4.51 per cent in the last six months. On a year-to-date (YTD) basis, Vijaya Diagnostic shares have dropped by Rs 118.20 or 11.12 per cent on the NSE.

Meanwhile, shares of several other Indian pharmaceutical companies, including Aurobindo Pharma, IPCA Laboratories, and Lupin, also fell sharply after US President Donald Trump hinted at the possibility of high tariffs on drug imports. Some of these stocks declined by as much as 10 per cent, while many others were down between 4 per cent and 9 per cent. Speaking to reporters aboard Air Force One, Trump said that pharmaceutical tariffs are “going to come in at levels you haven’t really seen before.” He added that the US is reviewing pharmaceuticals as a separate category and an official announcement would be made soon.

Following these comments, Indian pharma companies lost all the gains they had made in the previous session on April 3. Shares of drugmakers had surged earlier after Trump’s initial reciprocal tariff announcement had excluded pharmaceuticals. However, that exemption now appears to have been only temporary. There had been earlier signs that sector-specific tariffs would not be part of Trump’s tariff announcements. The US government has now indicated that it will be reviewing pharmaceutical and semiconductor imports under Section 232 of the Trade Expansion Act of 1962. This law allows the US President to impose trade restrictions on products that are considered a threat to national security.