Abbvie: Credit Suisse downgrades stock
(CercleFinance.com) - Credit Suisse has downgraded its rating on the Abbvie stock from "neutral" to "underperform," cutting its target price for the share from 104 dollars to 89 dollars, saying that it is becoming increasingly worried about the longevity of its flagship product, Humira.
The broker expects a fairly sharp fall in Humira sales in the European Union after the entry of several biosimilar versions of the drug in Q4 2018, says the analyst who monitors the pharmaceutical group.
Also worried about Abbvie's capacity to make price increases in the US, the broker has revised its EPS estimates - up slightly for FY 2018, although down for FY both 2019 and FY 2020.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The broker expects a fairly sharp fall in Humira sales in the European Union after the entry of several biosimilar versions of the drug in Q4 2018, says the analyst who monitors the pharmaceutical group.
Also worried about Abbvie's capacity to make price increases in the US, the broker has revised its EPS estimates - up slightly for FY 2018, although down for FY both 2019 and FY 2020.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.