Patent cliff refers to the expiration of patents on blockbuster drugs, creating opportunities for generic drug manufacturers. $200+ billion worth of drugs are going off-patent by 2030, creating significant opportunities for Indian pharma companies. This is expected to boost generic drug market by 15-20% annually.

Key growth drivers include patent expirations creating generic opportunities, rising healthcare spending and insurance penetration, strong demand from international markets, government support for healthcare sector, and growing R&D investment in new drug development. Generic drug market is expected to grow 15-20% annually.

Evaluate companies based on generic drug capabilities and market share, R&D investment and pipeline, regulatory compliance and approvals, manufacturing capabilities and efficiency, financial health and margins, and ESG practices and sustainability focus. Consider both fundamental analysis and technical analysis for better decision making.

Key risks include intense competition in generic drug market, regulatory challenges and compliance costs, patent cliff competition and pricing pressure, currency sensitivity and export dependence, supply chain disruptions and raw material costs, and technology disruption and innovation risks. Diversification and risk management are crucial.

Use multiple valuation methods: P/E ratios (12-25x range), P/B ratios (1.5-4x range), EV/EBITDA (6-18x range), and DCF analysis considering growth prospects. Consider patent cliff opportunities, generic drug capabilities, and competitive advantages. Focus on companies with strong fundamentals and growth prospects.