Lupin’s share price down today after US FDA issues adverse observations

Lupin’s share price is down today. This, after US FDA issued six adverse observations after the inspection of its Nagpur manufacturing unit. At 10:25 a.m. today, 17^th September, 2025, its share price is down by 0.92%, trading at Rs 2,033. Nifty 50 index is up by 0.34% at this time.

US market very important for Lupin

Pharmaceutical companies that export their products to the US market have to comply with US Food & Drug Administration (FDA) regulations. US market is a very important one for Lupin. It currently accounts for around 39% of its total sales in value. The company has said that it will immediately take remedial measures at its Nagpur facility to address these adverse observations.

US is a very important market for generic drugs of Indian pharma companies. Indian pharma companies are already reeling under the 50% tariff that US government is currently imposing on Indian goods. Indian pharma companies have lost a large part of their comparative advantage because of these tariffs.

Lupin’s stock has underperformed in 2025

In the past 5 days, Lupin’s share has gained 2.20%. Year-to-date (YTD), in 2025, the share has lost 13.90%. YTD, the benchmark Nifty 50 index has gained 6.66%. So the stock has underperformed the benchmark Nifty 50 index by more than 7% this year.

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Source: NSE