Haleon: share price rises, Berenberg initiates buy decision

(CercleFinance.com) - Haleon was poised to finish Wednesday's session among the FTSE 100 index's strongest gainers, buoyed by favorable comments from Berenberg analysts.


In a note released in the morning, Berenberg announced that it had initiated coverage of Haleon shares with a buy recommendation and a price target of 407 pence.

The analyst's optimism is underpinned by the US launch of Eroxon, a topical gel for male erectile dysfunction, which he believes should enable the Group to post organic growth of 5.8% in 2025, compared with the current consensus target of 4.9%.

He also highlights Haleon's exposure to dynamic market segments, where the Group should generate growth of 4.6% in the medium term, above the 4.1% average expected for the sector.

Finally, the intermediary points out that the stock is currently trading at a 17% discount to other major manufacturers of household and personal care products.

At current prices, its price target shows a potential upside of around 25%.

Following these comments, Haleon shares were up by more than 1.3% on Wednesday afternoon on the London Stock Exchange.

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