Oxford BioMedica PLC (LSE:OXB) used its capital markets day in London to set a long-term revenue target of £500 million by 2030, equivalent to a compound annual growth rate of 24% from its 2025 base, as the viral vector contract manufacturer seeks to rebuild momentum following the collapse of a takeover approach from private equity group EQT.
The target extends the company's existing medium-term guidance, which points to revenues of between £344 million and £406 million by 2028, with growth of 25-30% in financial years 2027 and 2028 and an adjusted EBITDA margin above 20% by financial year 2027.
Both Stifel and Panmure Liberum carry 'buy' ratings on the stock, though with differing price targets.
Stifel maintains a 950p target, implying 54% upside from the current share price of 616p, while Panmure Liberum sets its target at 800p, which it describes as bringing the stock in line with peers without applying any premium for its faster growth profile.
Stifel notes that the 2030 target is broadly consistent with its own implied estimates, and flags that Oxford Biomedica trades at approximately three times enterprise value to 2026 sales, a 30% discount to sector peers, which the bank views as an attractive entry point given the margin expansion trajectory.
Panmure acknowledges that investors currently view the medium-term guidance as ambitious, and that layering on a 2030 target is unlikely to shift that scepticism on its own. The more significant question is whether today's event can increase conviction in management's execution capability.
The company's shares have traded sideways since the EQT approach fell away, and both banks suggest a successful capital markets day could catalyse a re-rating.
Oxford Biomedica is a contract development and manufacturing organisation, producing viral vectors used in cell and gene therapies, a market it entered early and where it holds significant manufacturing expertise. Client Cabaletta Bio also presented at today's event.