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Pharma & Biotech

Genus extends Friday rally as brokers lift forecasts after ahead-of-expectations update

Genus PLC (LSE:GNS) shares were up 10% at 2,900p on Friday morning, valuing the business at about £1.9 billion, as analysts digested a trading update that came in ahead of expectations and prompted a fresh round of upgrades.

The company said earlier on Friday that adjusted profit before tax for the first half of its financial year is expected to be about £50 million. That is more than 40% higher than last year and comfortably ahead of forecasts.

Peel Hunt said the update put Genus moderately above the top end of market expectations, driven by strong trading at PIC, its pig genetics division. It upgraded its forecasts by 3–5%, reiterated its 'buy' rating and kept a 3,200p target price.

Panmure Liberum struck a similarly upbeat tone. It said first-half profits were about 14% ahead of its own estimates, even before a £5.6 million milestone payment linked to regulatory approval of the BCA joint venture in China.

That deal is now expected to complete in the third quarter, earlier than previously thought, leaving the group with little or no net debt.

Panmure now expects full-year profits to come in well above the current market range and is upgrading its forecasts again, taking cumulative upgrades this year to about 17%. It kept its 'buy' rating and a higher 3,500p target price.

Both brokers pointed to healthy agricultural markets in the near term and longer-term potential from Genus’s PRP cattle technology, with further regulatory news expected during 2026.

In the past year, Genus shares have advanced 62%.

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