Recordati Upgraded to 'Buy' by Kepler Cheuvreux

Kepler Cheuvreux Elevates Recordati Rating

Kepler Cheuvreux has upgraded Italian pharmaceutical firm Recordati from “hold” to “buy,” raising its price target to €57.50 from €55.50. The decision is based on the stock's appealing valuation and a clearer near-term outlook preceding its annual results.

Market Overview and Performance

Following the upgrade, shares in Recordati experienced a rise. As of February 2, the stock was trading at €46.78. The new target price from Kepler Cheuvreux suggests a potential upside of approximately 22.9 percent, highlighting positive analyst sentiment toward the drugmaker.

Impact on Financial Outlook

While maintaining its 2025 forecasts, Kepler Cheuvreux slightly trimmed its 2026 estimates for Recordati. This adjustment reflects anticipated higher expenditures related to Isturisa, the company's treatment for Cushing’s disease, indicating a strategic investment in key products.

Summary Outlook

The upgrade signals confidence in Recordati's current market position and growth potential, despite minor adjustments to long-term spending forecasts. Investors will be closely watching the upcoming full-year results to validate this positive outlook.

FAQ

Q: Why did Kepler Cheuvreux upgrade Recordati stock?
A: The upgrade was primarily due to an attractive valuation and a clearer near-term outlook for the company.

Q: What is the new price target for Recordati?
A: The new price target was raised to €57.50 from a previous €55.50.

Source: Investing.com