The market value of AstraZeneca PLC (LSE:AZN) shot up by nearly £7bn following the release of its fourth-quarter and full-year figures.
Although the top-line number in Q4 was slightly below expectations, earnings per share were ahead of forecasts, according to UBS, leading to a 4% surge in the stock to 11,198p. UBS stated in a post-results update: "[The] outlook for 2023 is broadly in line with consensus."
Shore Capital, however, is getting excited about AstraZeneca's pipeline of drugs, which is expected to rapidly increase this year.
In a note to clients, the Liverpool-based broker said: "AstraZeneca has an industry-leading R&D pipeline with a wealth of next-generation, innovative assets.
"We see great potential for the pipeline to exceed expectations and our forecasts reflect long-term revenue growth that will enhance margins."
Shore believes the fair value of the stock is 12,700p.