AstraZeneca PLC (LSE:AZN) is poised to maintain its full-year financial guidance without adjustments when it announces its first-quarter results later this month (April 25), according to insights from Shore Capital, which expects any significant updates to be unveiled at the drugs giant's capital markets day on May 21.
The company's cancer drugs, Imfinzi and Imjudo, are expected to show a robust performance, despite mandatory price cuts in Japan affecting the former.
Sticking with oncology, AZ's Tagrisso has seen positive developments with new US Food & Drug Administration approvals and inclusion in national reimbursement lists, addressing concerns about its market competition.
Shore also highlighted advances in its rare disease portfolio, including FDA nods for Ultomiris and Voydeya, enhancing its treatment offerings for NMOSD and PNH respectively.
On the mergers and acquisitions front, AZ is expected to continue to strengthen its position after recent purchases of Amolyt and Fusion Pharma totalling approximately $3 billion.
Despite increased capital expenditures and R&D investments, the Anglo-Swedish pharma giant has already said it will raise its dividend 7%, affirming its commitment to a progressive payout policy.
Shares of AstraZeneca have corrected after previous overreactions to fiscal results, now trading at a forward price-to-earnings ratio of 14.4, in line with industry peers.
Shore remains optimistic about its growth potential, underpinning a fair value estimate of 13,000p per share - an 18% premium to the current share price of 10,992p.