A strong financial performance is expected from AstraZeneca PLC (LSE:AZN) when the drug giant reports third-quarter figures early next month, according to City broker Shore Capital.
Revenues for the three months ended September 30 are set to be in the region of US$11bn, up 11%, resulting in earnings per share of US$1.52, ahead 41% on the same period last year.
AZ should benefit from a return to pre-Covid levels of cancer diagnostics, Shore said, boosting sales of blockbusters Tagrisso, Imfinzi and Lynparza.
The broker reiterated its ‘buy’ recommendation and £123 share price target.
“AstraZeneca has been a strong performer…and we believe its superior industry-leading top-line and earnings growth profile warrants a significant premium rating versus the US and European peer group,” Shore said in a note to clients.
Of the 26 banks covering the stock, 21 are positive on the prospects for the stock. The average price target is £124.73.
The shares were up 1% at £98.98 in late morning trade.