Berenberg maintains Buy rating on AstraZeneca with GBP140 target

Published 28/01/2025, 10:02
Berenberg maintains Buy rating on AstraZeneca with GBP140 target

Investors are awaiting the company's fourth-quarter results, scheduled for February 6, for an update on the China issue. Hector expects AstraZeneca (NASDAQ:AZN) to guide towards a high-single-digit revenue growth for 2025, which would factor in the anticipated effects of Farxiga generics in China. The specifics of this impact, particularly the timing, are still uncertain but are considered the most significant headwind.Looking forward to the new year, Hector emphasized the presence of new catalysts for AstraZeneca. The analyst's price target of GBP140 implies a 25% upside from the current share price, suggesting confidence in the stock's growth potential. This optimism is reflected in the broader analyst consensus, with AstraZeneca maintaining a "Strong Buy" recommendation and showing impressive gross profit margins of ~83%. This optimism is reflected in the broader analyst consensus, with AstraZeneca maintaining a "Strong Buy" recommendation and showing impressive gross profit margins of ~83%.

Investors are awaiting the company's fourth-quarter results, scheduled for February 6, for an update on the China issue. Hector expects AstraZeneca to guide towards a high-single-digit revenue growth for 2025, which would factor in the anticipated effects of Farxiga generics in China. The specifics of this impact, particularly the timing, are still uncertain but are considered the most significant headwind.Looking forward to the new year, Hector emphasized the presence of new catalysts for AstraZeneca. The analyst's price target of GBP140 implies a 25% upside from the current share price, suggesting confidence in the stock's growth potential. This optimism is reflected in the broader analyst consensus, with AstraZeneca maintaining a "Strong Buy" recommendation and showing impressive gross profit margins of ~83%.

Investors are awaiting the company's fourth-quarter results, scheduled for February 6, for an update on the China issue. Hector expects AstraZeneca to guide towards a high-single-digit revenue growth for 2025, which would factor in the anticipated effects of Farxiga generics in China. The specifics of this impact, particularly the timing, are still uncertain but are considered the most significant headwind.

Looking forward to the new year, Hector emphasized the presence of new catalysts for AstraZeneca. The analyst's price target of GBP140 implies a 25% upside from the current share price, suggesting confidence in the stock's growth potential.

In other recent news, AstraZeneca has announced a $570 million investment in Canada, expected to create over 700 jobs and facilitate the company's move to a more advanced office facility in the Greater Toronto Area. This investment aligns with AstraZeneca's global revenue goal of $80 billion and the introduction of 20 new medicines by 2030.

In the field of oncology, the U.S. Food and Drug Administration (FDA) has approved AstraZeneca's drug Datroway for the treatment of certain types of breast cancer, marking the eighth new medicine introduced by the company. The approval was based on the results of a clinical trial that demonstrated a 37% reduction in the risk of disease progression or death.

Guggenheim has recently adjusted its price target on AstraZeneca shares, increasing it and reiterating its Buy rating. This decision comes amid anticipation of various developments, including ongoing investigations in China and upcoming drug trial readouts.

AstraZeneca's drug Calquence has also received FDA approval for the treatment of adult patients with previously untreated mantle cell lymphoma (MCL). The approval followed the ECHO Phase III trial, which demonstrated significant improvement in progression-free survival. These are some of the recent developments surrounding AstraZeneca.

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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