GSK: Deutsche Bank downgrades stock
(CercleFinance.com) - Deutsche Bank announced on Monday that it had downgraded its recommendation on GSK to 'hold' (from 'buy'), with a target price reduced from 1,700 pence to 1,350 pence.
The analyst says that the likely appointment of Robert Francis Kennedy Jr. as Secretary of Health puts the group's performance 'seriously in question' and poses downside risks to the stock.
We consider vaccines to be one of the most important scientific advances in terms of their effects on public health, the broker says.
Unfortunately, our point of view is not shared by the prospective candidate, who has not only shown himself to be skeptical about vaccination against Covid, but has also regularly questioned the usefulness of pediatric vaccines, among other things, DB adds.
Given that vaccines generate one-third of the British laboratory's sales, Deutsche Bank expects the steep discount currently applied to the stock to remain in place for some time to come.
Copyright (c) 2024 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 information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
The analyst says that the likely appointment of Robert Francis Kennedy Jr. as Secretary of Health puts the group's performance 'seriously in question' and poses downside risks to the stock.
We consider vaccines to be one of the most important scientific advances in terms of their effects on public health, the broker says.
Unfortunately, our point of view is not shared by the prospective candidate, who has not only shown himself to be skeptical about vaccination against Covid, but has also regularly questioned the usefulness of pediatric vaccines, among other things, DB adds.
Given that vaccines generate one-third of the British laboratory's sales, Deutsche Bank expects the steep discount currently applied to the stock to remain in place for some time to come.
Copyright (c) 2024 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 information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.