Almirall: Credit Suisse cuts target price

(CercleFinance.com) - Credit Suisse reiterates its "outperform" rating on Almirall shares, but cuts its target price from 20 euros to 18 euros following the share's recent episode of volatility.


In a note to clients, the broker says it has revisited its investment thesis on the Spanish drugmaker, while resetting its forecasts for the company after first-quarter results.

However, Credit Suisse points out that its preferred valuation metric on the stock shows that the market currently excludes any valuation for the drugs Ilumetri, Skilarence, Seysara, and lebri.

Its new target price still suggests 50% upside potential, it adds, while the current share price is more in-line with its "grey sky scenario" (12 euros), which factors in lower margins for the US and Spain.

Copyright (c) 2020 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.