Gold prices remain near record highs; Fed cut bets prompt weekly gains
Investing.com - UBS has raised its price target on AstraZeneca (NASDAQ:AZN) to $4,925.00 from $4,260.00 while maintaining a Buy rating on the pharmaceutical giant. The stock, currently trading near its 52-week high of $82.41, has demonstrated strong momentum with a 26% year-to-date return according to InvestingPro data.
The significant price target increase represents approximately a 15.6% upside from AstraZeneca’s previous valuation, reflecting UBS’s growing confidence in the company’s market position and financial trajectory. With an "GREAT" Financial Health score from InvestingPro and a 33-year track record of consistent dividend payments, AstraZeneca has established itself as a reliable performer in the pharmaceutical sector.
UBS anticipates AstraZeneca will post strong fourth-quarter results, with the firm expecting to see returns on investments the company has made across its operations, including stores, fleet, supply chain, personnel, and technology.
The investment bank projects AstraZeneca will achieve approximately 4% comparable sales growth, partly driven by high-single-digit commercial increases, demonstrating solid performance across multiple business segments.
Despite some margin pressure resulting from ongoing investments, UBS believes these initiatives will eventually translate to double-digit earnings-per-share growth through a combination of accelerated top-line expansion, margin stabilization, and continued share repurchases.
In other recent news, AstraZeneca reported impressive financial results for the second quarter of 2025, significantly surpassing analyst expectations. The company achieved an earnings per share of $2.17, nearly doubling the projected $1.09, resulting in a 99.08% earnings surprise. Revenue for the quarter reached $14.46 billion, exceeding the anticipated $14.09 billion by 2.63%. These results have generated positive sentiment among investors. Additionally, Goldman Sachs has reiterated its Conviction Buy rating on AstraZeneca stock. This follows the presentation of Phase 3 trial data for baxdrostat at ESC 2025, where the BaxHTN trial showed promising results. Specifically, the trial demonstrated dose-dependent reductions in seated systolic blood pressure. The 2mg dose achieved a 9.8mmHg reduction, while the 1mg dose showed an 8.7mmHg reduction without dose modification. These developments highlight AstraZeneca’s ongoing progress in both financial performance and clinical trials.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.