While CSL is still some way with respect to plasma collection volumes seen last year, UBS believes there are a range of mitigation measures and positive drivers to underpin growth in FY21.
These drivers include normalisation of albumin sales in China, focus on cost efficiencies, strong demand for flu vaccine and robust demand for infra-marginal products
Immunoglobulin (IG) and albumin volumes are expected to decline, -20% in the second half of FY21 and -7% during the first half of FY22 before normalising in the second half of FY22.
UBS makes no changes to the Buy rating or $346 price target.
Sector: Pharmaceuticals, Biotechnology & Life Sciences.
Target price is $346.00.Current Price is $305.41. Difference: $40.59 – (brackets indicate current price is over target). If CSL meets the UBS target it will return approximately 12% (excluding dividends, fees and charges – negative figures indicate an expected loss).