UCB: shares surge, broker upgrades to 'buy'

(CercleFinance.com) - Shares in the Belgian drugmaker UCB are up 2.
7% on Thursday as a broker upgrade highlighted the appeal of the group's portfolio.

Jefferies analysts upgraded the stock from "hold" to "buy" and lifted their corresponding target price from 70 euros to 95 euros, saying that the company's deep pipeline gives confidence in a wave of upcoming new launches.

The US broker wrote that potential blockbusters such as osteoporosis drug evenity, psoriasis drug bimekizumab and immune drug zilucoplan could well offset slow-to-declining legacy drugs from 2021, driving sustainable growth.

Jefferies added that the UCB share is trading at a 10% discount relative to its peers, which it sees as "unwarranted."

At 14.20 CET, UCB shares, which have risen by almost 20% over the past three months, were up 2.7% at 75.8 euros.

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