West Pharmaceutical price target lowered to $320 from $390 at Evercore ISI

Evercore ISI analyst Daniel Markowitz lowered the firm’s price target on West Pharmaceutical Services (WST) to $320 from $390 and keeps an Outperform rating on the shares. West Pharmaceutical shares have dropped a “significant” 15% following the launch of Novo Nordisk’s (NVO) oral Wegovy, which sparked concerns about the future of injectable GLP-1s, the analyst tells investors. 17% of West’s revenues come from GLP-1s and in “the worst-case scenario,” GLP-1 revenues could remain flat, the analyst noted. However, West is still expected to grow EPS beyond current estimates and its base business is poised for recovery, aided by inventory normalization and stable drug volumes, the analyst added.