Stifel has downgraded its recommendation on Virbac from 'buy' to 'hold', in view of limited upside potential, and has lowered its target price for the animal health group to 293 euros (from 342 euros previously).

The broker says it has reduced its 2023-24 revenue estimates by 5-6% respectively, due in particular to a slowdown in overall market growth and Virbac's weaker outperformance relative to it.

Stifel has also lowered its 2023-24 EPS expectations by 21-22%, pointing to a 'combination of lower volumes and high inflation which should put margins under pressure in the first half', as well as the impact of the cyberattack in mid-June.

Copyright (c) 2023 CercleFinance.com. All rights reserved.
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.