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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Pharma & Biotech

AstraZeneca: Will pharma giant beat revenue expectations?

AstraZeneca PLC (LSE:AZN) is poised to release its full-year results for 2022, with the shares reaching a record high last month but down 6% since the start of the year.

The pharmaceutical giant upgraded guidance in November 2022 after it returned to profitability in the third quarter.

For the full year total revenues are expected to increase by a low twenties percentage, with a core earning-per-share increase of a high-twenties to low-thirties percentage.

Revenues and earnings may be impacted by single-digit currency headwinds, with geopolitical and supply chain uncertainties noted too.

Since then, AstraZeneca has managed to get European regulatory approval for its Enhertu, Imfinzi and Lynparza combo drugs, as well as securing two separate deals to enhance its offering in the respiratory space - a partnership with C4X Discovery and the acquisition Neogene Therapeutics.

In early January AstraZeneca shares hit record highs, but have since slipped back quite sharply on the back of some profit taking

An update on the phase-III clinical trial of lung cancer drug Dato-Dxd will also be anticipated, where analysts at JPMorgan estimate a peak sales potential of US$18bn.

According to research supplied by Shore Capital Markets, the price-to-earning ratio of AZN shares are in line with US and European peer averages, although a premium could be justified “given its industry-leading earnings growth and pipeline prospects”.

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