Aurobindo Pharma share are trading in the green on Monday, August 24, after the company informed stock exchanges that the US Food and Drug Administration (USFDA) had completed a routine inspection at its wholly owned step-down subsidiary Lannett Company LLC's manufacturing facility.
The inspection was conducted from August 17 to 21 at Auro Peptides Ltd's facility in Indrakaran village, Telangana, which manufactures peptide active pharmaceutical ingredients.
Auro Peptides has started corrective action and will submit its formal response to the USFDA within the required timeline. The company said it will continue to update the stock exchanges on any further developments.
Stock Price Movement
The stock gained around 0.44% on Monday, around 11:28 am, rising to Rs 1,628.40 apiece on the National Stock Exchange, against its previous close at Rs 1,621.3.
Having said that, the stock has rallied over 36% in 2026, and close to 59% in the past year.
In the past month itself, the stock has delivered a return of over 6.16%.
Currently, the stock is trading at a price-to-earnings multiple of 25.14 times, with a market cap of Rs 93,729.06 crore.
FDA Inspection At Lannett Facility
Lannett Company LLC is a wholly owned step-down subsidiary of Aurobindo Pharma's US arm, Aurobindo Pharma USA, Inc. The Seymour facility was subject to the routine US FDA inspection between August 17 and August 21, a five-day period.
The company said the USFDA raised one observation related to the maintenance of the facility and equipment. It said the observation did not involve data integrity or other good manufacturing practice compliance issues.
It also stated that the company remains committed to maintaining robust quality and compliance standards across its manufacturing facilities.
The latest disclosure comes as investors assess the regulatory outcome at Lannett's Seymour facility. With the company characterising the four observations as procedural, the next update from Aurobindo Pharma will be watched for details on its response to the USFDA and any subsequent developments.
Also Read: Aurobindo Pharma Q1 Results: Profit Jumps 25%, Revenue Rises To Rs 9,150 Crore; Margins Improve
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