Jefferies assumes coverage on Indivior stock with Buy rating on reset expectations

Investing.com - Jefferies has assumed coverage on Indivior (NASDAQ:INDV) with a Buy rating and a price target of $20.00. The stock, currently trading near its 52-week high of $16.34, has demonstrated strong momentum with a 47.73% return over the past year. According to InvestingPro analysis, the company appears undervalued based on its Fair Value metrics.

The research firm noted that expectations for the pharmaceutical company have reset following what it described as a "tough 2024" for the business.

Jefferies highlighted that Indivior’s outlook appears more positive as the competitive dynamic between its Sublocade product and rival Brixadi has "mostly stabilized," and challenges related to the Criminal Justice System (CJS) are "well understood."

The firm believes these factors should enable Indivior’s Sublocade product to "return to growth," suggesting most negative factors are already reflected in the current stock price.

Jefferies projects higher earnings per share than the current market consensus, forecasting 2027 EPS of $2.42 compared to the consensus estimate of $1.84, citing its expectation for lower operational expenses than what other analysts anticipate.

In other recent news, Indivior PLC (LON:INDV) has made several key announcements that are of interest to investors. The company reported significant leadership changes at its Annual General Meeting, including the appointment of Joe Ciaffoni as the new CEO following the departure of Mark Crossley. Additionally, shareholders approved amendments to the company’s articles of association, marking its transition from the London Stock Exchange (LON:LSEG) to the Nasdaq Stock Market as its primary listing. In another development, Indivior has appointed Patrick Barry as Chief Commercial Officer, who brings over 30 years of experience in the pharmaceutical sector and a history of driving revenue growth. Barry’s role will focus on leading the company’s commercial growth strategy, particularly for its SUBLOCADE product. Furthermore, Indivior has strengthened its Board of Directors with the addition of Tony Kingsley as an Independent (LON:IOG) Non-Executive Director. Kingsley’s extensive experience in the pharmaceutical industry is expected to support the company’s development efforts. These recent developments highlight Indivior’s strategic focus on strengthening its leadership and governance to enhance its market position.

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