Based on the aggregated intelligence of 150,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, Indian generic-drug maker Dr. Reddy's Laboratories (NYSE: RDY) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Dr. Reddy's business and see what CAPS investors are saying about the stock right now.

Dr. Reddy's facts

Headquarters (Founded)

Hyderabad, India (1984)

Market Cap

$4.2 billion



Trailing-12-Month Revenue

$1.59 billion


Co-Founder/Chairman Dr. K. Anji Reddy
CFO Umang Vohra

Return on Capital (Average, Past 3 Years)



$128 million / $253 million


Teva Pharmaceutical (Nasdaq: TEVA)
sanofi-aventis (NYSE: SNY)
Merck (NYSE: MRK)

Other Highly Rated Pharmaceutical Stocks

Johnson & Johnson (NYSE: JNJ)
Pfizer (NYSE: PFE)
Novartis (NYSE: NVS)

Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.

On CAPS, 97% of the 146 All-Star members who have rated Dr. Reddy's believe the stock will outperform the S&P 500 going forward. These bulls include typeoh and jabez1, both of whom are ranked in the top 15% of our community.

Just three weeks ago, typeoh tapped the stock as an ideal play on three attractive trends:

1) Growth of generics
2) Growth of Global Health care
3) Growth of India

In a pitch from late last year, jabez1 also made a rather generic argument:

Dr. Reddy's is positioned to cash in with generics in one of the most populated countries in the world. India is approaching an economic status that will create enough income for rapidly improving healthcare with generics moving to the head of the line. ... They have 67 Abbreviated Drug Applications in the works for generics as well as Biosimilars and with $140 billion worth of annual sales of patented drugs losing their protection in the next 6 years, thing could get interesting. Oh, did I mention that they are likely on the menu of some giant looking for an acquisition - just like Barr a year or so ago?

What do you think about Dr. Reddy's, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!  

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Dr. Reddy's and Novartis are Motley Fool Global Gains picks, Pfizer is an Inside Value choice, and Johnson & Johnson is a selection of Income Investor. Motley Fool Options has recommended buying calls on Johnson & Johnson. The Fool's disclosure policy always gets a perfect score.