Gold is 2025’s best performer. UBS sees more upside
Monday, Alcon Inc. (NYSE:ALC) shares received a boost from KeyBanc analysts, who increased their price target on the company’s stock to $112 from $108, while maintaining an Overweight rating. The adjustment follows Alcon’s recent 2025 Capital Markets Day held last Thursday, which showcased the company’s strategic balance of innovation and sustained double-digit earnings growth. According to InvestingPro data, Alcon, with its $46.5 billion market capitalization, is trading near its 52-week high of $101.1, though current analysis suggests the stock may be slightly overvalued at these levels.
Alcon, a leader in eye care products, has been focusing on several key areas for growth. In the Surgical division, KeyBanc expressed optimism about the forthcoming launch of next-generation Equipment and Consumables. The Vision Care segment is also seeing acceleration, particularly in Ophthalmic Pharmaceuticals, alongside a steady introduction of new products in the Contact Lenses market. InvestingPro analysis reveals the company’s strong financial position, with a current ratio of 2.77 and moderate debt levels, supporting its ambitious growth initiatives. The company generated nearly $10 billion in revenue over the last twelve months, with a healthy gross profit margin of 55.7%.
During the Capital Markets Day, Alcon presented its long-term outlook, which included an ambitious target of 12-15% EPS growth. This is particularly noteworthy as it comes in spite of an increase in research and development spending relative to sales. KeyBanc’s analyst highlighted this balance as a strong indicator of Alcon’s potential for sustained growth. The company’s financial health score on InvestingPro is rated as "GREAT," with particularly strong scores in profit and price momentum metrics. Subscribers can access 12 additional ProTips and comprehensive financial analysis in the Pro Research Report.
The analyst’s comments underscored the company’s commitment to innovation and growth, pointing out that Alcon is well-positioned to continue delivering on its targets. The increase in the price target reflects confidence in Alcon’s strategic initiatives and its ability to drive earnings growth in the coming years.
Investors responded positively to the updated price target, with Alcon shares expected to react to the new valuation and the analyst’s reaffirmation of the Overweight rating. The company’s focus on advancing its product pipeline and achieving its long-term earnings growth objectives remains central to its strategy, as it continues to invest in R&D while delivering innovative eye care solutions.
In other recent news, Alcon Inc. has been the focus of several analyst updates following its Capital Markets Day. Deutsche Bank (ETR:DBKGn) raised its price target for Alcon to CHF96, maintaining a Buy rating, and highlighted the company’s medium-term guidance for organic sales growth of 6-8% and adjusted EPS growth of 12-15%. Needham also increased its price target to $110, expressing optimism about Alcon’s upcoming product launch cycle, which is expected to drive revenue and earnings growth. Stifel reaffirmed its Buy rating with a $100 target, noting potential for top-line growth acceleration and operating margin expansion.
Mizuho (NYSE:MFG) lifted its price target to $120, citing Alcon’s strategic positioning and expected financial improvements, forecasting that the company’s revenue and EPS will exceed market expectations. Jefferies also raised its price target to $115, maintaining a Buy rating, and mentioned anticipated strong performance in the latter half of 2025 and throughout 2026. These developments reflect a positive consensus among analysts about Alcon’s growth prospects, driven by its innovative product pipeline and strategic initiatives.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.