Perrigo Rating Increased to Buy at Bank of America Corp. (PRGO)
Perrigo (NASDAQ:PRGO) was upgraded by analysts at Bank of America Corp. from a “neutral” rating to a “buy” rating in a research report issued to clients and investors on Tuesday, Stock Ratings Network.com reports. The firm currently has a $171.00 price objective on the stock, up from their previous price objective of $162.00. Bank of America Corp.’s target price indicates a potential upside of 10.62% from the company’s current price.
The analysts wrote, “With PRGO’s acquisition of Elan now complete, the newly Irish-domiciled company is in a position to benefit from a more efficient tax structure, both on a stand-alone basis and in a merger and acquisition (M&A) context. With Elan came a royalty stream on the biotech drug Tysabri (treats multiple sclerosis; MS). We view this stream as “financially core” (helps tax rate and contributes strong EBITDA) but not “strategically core,” in that a royalty stream on a biotech product does not obviously fit with a business model based on store brands and generics.”
Other equities research analysts have also recently issued reports about the stock. Analysts at RBC Capital initiated coverage on shares of Perrigo in a research note to investors on Monday. They set a “top pick” rating and a $187.00 price target on the stock. Separately, analysts at Zacks reiterated a “neutral” rating on shares of Perrigo in a research note to investors on Friday. They now have a $161.00 price target on the stock. Finally, analysts at Morgan Stanley initiated coverage on shares of Perrigo in a research note to investors on Thursday, December 19th. They set an “overweight” rating and a $183.00 price target on the stock. Three investment analysts have rated the stock with a hold rating, twelve have given a buy rating and one has issued a strong buy rating to the company. Perrigo currently has an average rating of “Buy” and an average price target of $151.04.
Perrigo (NASDAQ:PRGO) traded up 1.08% on Tuesday, hitting $154.58. The stock had a trading volume of 1,384,571 shares. Perrigo has a 52-week low of $98.79 and a 52-week high of $157.47. The stock has a 50-day moving average of $153.7 and a 200-day moving average of $134.2. The company has a market cap of $14.577 billion and a price-to-earnings ratio of 32.26.
Perrigo (NASDAQ:PRGO) last released its earnings data on Thursday, October 31st. The company reported $1.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.40 by $0.12. The company had revenue of $933.00 million for the quarter, compared to the consensus estimate of $900.10 million. During the same quarter in the previous year, the company posted $1.27 earnings per share. The company’s revenue for the quarter was up 21.3% on a year-over-year basis. On average, analysts predict that Perrigo will post $6.62 earnings per share for the current fiscal year.
Perrigo Company is a global healthcare supplier that develops, manufactures and distributes over-the-counter (NASDAQ:PRGO) and generic prescription (Rx) pharmaceuticals, infant formulas, nutritional products and active pharmaceutical ingredients (API).
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