BTIG analyst Marie Thibault upgrades $Embecta (EMBC.US)$ to a buy rating, and sets the target price at $26.
According to TipRanks data, the analyst has a success rate of 38.4% and a total average return of 1.2% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Embecta (EMBC.US)$'s main analysts recently are as follows:
Following the announcement of the discontinuation of its patch pump program and the disclosure of Q4 EPS along with 2025 guidance, the business's valuation is deemed to align closely with its cash flow value. Revenue growth acceleration is not anticipated substantially despite these updates, based on recent financial performance and future projections.
Shares of Embecta saw a significant increase following the company's decision to discontinue the patch pump program, as acknowledged by analysts, who viewed the move positively from a financial perspective. The drop in R&D expenses has led to an improved adjusted EBIT margin, potentially freeing up considerable cash flow. This increase in available funds could facilitate debt repayment and a reduction in the net leverage ratio. Moreover, with fewer expenses related to company separation, there could be more opportunities for strategic mergers and acquisitions.
Note:
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