The stock currently trades at 24.5x FY19e and 18.1x FY20e earnings and EV/Ebitda multiple of 15.1x FY19e and 11.3x FY20e. The stock has corrected over 10% in last one month. We expect ILUMYA approval would help re-rate valuations to some extent and clearance of USFDA warning letter at Halol plant would be another positive trigger in near term for valuations. The stock has traded at an average P/E of 33.2x 1-year forward earnings over the past five years and below mean over the past one year. We expect FY18 performance to remain muted for Sun Pharma. However, we believe earnings growth to follow from FY19 considering (i) ramp-up in revenue from branded/specialty business in India and US, (ii) potential to buy inorganic growth based on strong balance sheet, (iii) expected resolution of USFDA issues at Halol by FY18 end and (iv) continued margin recovery.