- Stephens upgraded West Pharmaceutical Services (NYSE:WST) from Equal Weight to Over Weight, with a price target of $400, up from $330.
- The analyst says, “West Pharma is expensive for a reason (dominant market share, growing end-markets, quality management team), and we are tired of using valuation as an excuse, especially as there are potential upside drivers to numbers in coming years.”
- The company has a 70% share in the rubber containment (plungers/stoppers) market, representing a small cost vs. the price of a drug. WST has a long quality track record.
- The shift to HVP products is driving robust growth as these components cost 30-40+ cents per unit vs. standard products at 1-2 cents.
- The company sells into a biologics and injectable drug market, supporting years of stable growth.
- The analyst says the stock has admittedly had a strong move already in 2023 and the sentiment has improved for a good reason, as the fundamental outlook is quite positive.
- Price Action: WST shares are up 1.74% at $355.88 on the last check Tuesday.
Xerox, Logitech International, Packaging Corporation of America And Other Big Stocks Moving Higher On Tuesday
U.S. stocks traded higher, with the Nasdaq Composite gaining around 75 points on Tuesday. Here are some big stocks recording gains in today’s session.
Kiniksa Pharmaceuticals, Ltd. (NASDAQ: KNSA) gained 20.5% to $18.00 following strong quarterly results.
