KeyBanc maintains Overweight rating on West Pharmaceutical stock

Published 27/07/2025, 06:20
KeyBanc maintains Overweight rating on West Pharmaceutical stock

Investing.com - KeyBanc Capital Markets maintained its Overweight rating and $325.00 price target on West Pharmaceutical (NYSE:WST) following the company’s quarterly results. According to InvestingPro data, the stock has seen strong momentum with a 24.95% return over the past week, while analysts’ targets range from $245 to $350.

West Pharmaceutical reported 6.8% organic growth in the second quarter, with its Proprietary Products segment growing 8.4% and high-value product elastomer components increasing 11.3%. The company, currently valued at $18.95 billion, maintains a solid financial health score of "GOOD" according to InvestingPro analysis, which includes 15+ additional insights available to subscribers.

The firm noted that GLP-1 drugs are creating significant momentum for West Pharmaceutical, with related products growing 60% and now representing 8% of overall revenue, up from mid-single digits previously.

Despite West Pharmaceutical maintaining its full-year 2025 organic growth guidance of approximately 3%, KeyBanc expects the company to exceed these projections in the second half of the year.

KeyBanc projects that West Pharmaceutical will achieve its long-term organic growth target of 7-9% by 2026, with the firm specifically estimating 7% organic growth for fiscal year 2026.

In other recent news, West Pharmaceutical Services Inc . reported impressive financial results for the second quarter of 2025. The company exceeded analyst expectations with an earnings per share (EPS) of $1.84, surpassing the anticipated $1.51, which represents a 21.85% surprise. Additionally, West Pharmaceutical’s revenue reached $766.5 million, outpacing the forecasted $725.26 million by 5.69%. These robust earnings results have drawn positive attention from investors. In a related development, Evercore ISI raised its price target for West Pharmaceutical to $350 from $275, while maintaining an Outperform rating. The research firm highlighted the company’s strong performance amid challenging macroeconomic conditions as a reason for the target increase. These recent developments underscore West Pharmaceutical’s resilience and ability to deliver strong financial outcomes.

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