Strong plasma industry data out of the US comes as no surprise to the broker given the numbers run on a three month lag and CSL’s first half result has already told the story. The broker believes the data likely reflect ongoing movement of product from the rest of the world into the US, where prices ar higher, rather than being a proxy for plasma supply growth.
CSL’s ability to grow plasma volume at 15% in the first half is due to the company’s relatively higher contribution to plasma centre expansion. Buy and $365 target retained.
Sector: Pharmaceuticals, Biotechnology & Life Sciences.
Target price is $365.00.Current Price is $315.25. Difference: $49.75 – (brackets indicate current price is over target). If CSL meets the UBS target it will return approximately 14% (excluding dividends, fees and charges – negative figures indicate an expected loss).
