(CercleFinance.com) – The stock is down almost 2% today on the London Stock Exchange after two negative analyses.
UBS confirms its sell advice on the stock with a target lowered to 9,900 pence (instead of 10,700 pence) after the results for the 4th quarter of 2023.
‘The fourth quarter raised investor concerns about accelerating costs. We continue to view gross margin, increased R&D as margin pressure relative to consensus over time,’ says the analyst firm.
“We anticipate another year of strong growth in 2024, driven by the continued adoption of our medicines in all countries,” said Pascal Soriot, CEO. AstraZeneca expects 2024 sales and 2024 adjusted EPS to increase by 10 to 14%.
Barclays maintains its ‘overweight’ recommendation on AstraZeneca with a price target reduced from 135 to 125 pounds sterling, in the wake of its 2024 EPS forecasts lowered by 2% for the British pharmaceutical company.
‘The last time AstraZeneca moved this much on a point of activity (third quarter 2021), the extent of the disappointment on EPS and subsequent downgrades was much greater,’ notes the broker after the publication of the week passed.
Barclays adds that the stock is down 7% since publication and is at its lowest level in 52 weeks. ‘We believe this is a compelling entry point for a blue-chip company,’ he said.
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