As the company has lifted its guidance for the FY, Citi analysts have lifted their estimates and their price target to $215 from $175. High margins for Haegarda and Idelvion are the main drivers, they explain.
In Citi’s view, CSL remains a preferred name in the healthcare sector, which in itself is re-rating to higher valuations, due to the attractiveness of the plasma industry and the company’s estimated FY17-20 EPS CAGR of circa 20%. Buy.
Sector: Pharmaceuticals, Biotechnology & Life Sciences.
Target price is $215.00.Current Price is $182.95. Difference: $32.05 – (brackets indicate current price is over target). If CSL meets the Citi target it will return approximately 15% (excluding dividends, fees and charges – negative figures indicate an expected loss).