Baird upgrades ICON stock rating to Outperform as recovery takes shape

Published 24/07/2025, 09:34
Baird upgrades ICON stock rating to Outperform as recovery takes shape

Investing.com - Baird has upgraded ICON plc (NASDAQ:ICLR) from Neutral to Outperform and significantly raised its price target to $224.00 from $150.00. The new target aligns with InvestingPro analysis, which indicates ICON is currently undervalued, despite showing a strong 14.3% return over the past week.

The upgrade comes despite what Baird characterized as "not good numbers" from the clinical research organization, indicating the company is "not out of the woods" yet in terms of financial performance.

Baird cited ICON’s current valuation at "well

The research firm noted that four leading clinical research organizations, including ICON, have shown sequential bookings improvement, suggesting a positive trend in the sector.

Baird expressed "increased confidence" in its "longstanding views of a moderate, ratable recovery into 2026," with backlog burn appearing to stabilize.

In other recent news, Icon plc reported second-quarter earnings that exceeded analyst expectations, leading to a positive outlook for the company. The Dublin-based firm announced adjusted earnings of $3.26 per diluted share, surpassing the analyst estimates of $3.19. Revenue for the quarter was $2.02 billion, which also exceeded the consensus estimate of $1.98 billion, despite being a 4.8% decrease from the same quarter the previous year. Additionally, Icon raised its full-year guidance, signaling confidence in its future performance. These developments have attracted attention from investors and analysts alike. The company’s performance highlights its ability to navigate challenges and adjust its strategies effectively. The positive earnings report and raised guidance are likely to influence investor perceptions in the coming months.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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