First half results were better than Morgans expected. Immunoglobulin growth continues to impress and Seqirus sales were robust.
Earnings should continue to benefit from a tight plasma market. Morgans increases FY20-22 net profit estimates by up to 4.2%.
Hold rating maintained. Target rises to $303.10 from $220.30 as valuation multiples are rolled forward and the risk-free rate is lowered to better reflect current market conditions..
Sector: Pharmaceuticals, Biotechnology & Life Sciences.
Target price is $303.10.Current Price is $331.68. Difference: ($28.58) – (brackets indicate current price is over target). If CSL meets the Morgans target it will return approximately -9% (excluding dividends, fees and charges – negative figures indicate an expected loss).