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Top 10 Emerging Market Stocks

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5. Dr. Reddy's Laboratories (RDY - Get Report), an integrated pharmaceutical company, gained 12.8% during the past one month on strong earnings results.

Developments: For the second quarter, the drug maker, India's second largest pharmaceutical company by sales, registered a 32% increase in net profit to $64 million, compared to the year-ago period. Revenue for the quarter was up 1.8%, supported by domestic market sales. During the quarter, sales in India were up 25% while that of the U.S. rose 3%. Additionally, after making profits from selling generic drugs, Dr. Reddy's has invested $33.35 million in a similar facility scheduled to go on stream by end of 2011.

The company plans to invest $363 million over the next two years in capacity expansion and new facilities. Investments in the biologics segment are expected at around $35 million and $150 million every year for the next two years in global generics and pharmaceutical services, and active ingredients. These investments will not only help to meet future growth requirements, but will likely position Dr. Reddy's as a $3 billion company by 2013.
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