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Recordati Industria Chimica e Farmaceutica SPA
(REC)
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Rating:75Outperform
Price Target:
€58.00
▲(12.95% Upside)
Action:Reiterated
Date:07/31/26
The score is driven primarily by strong financial performance—high and stable margins and solid TTM free cash flow—tempered by elevated leverage and some cash flow variability. Technicals are supportive with the stock above key longer-term moving averages, while valuation is a modest headwind due to a P/E around 22 despite a ~2.6% dividend yield.
Positive Factors
High profitability / margins
Recordati’s consistently high gross and EBITDA margins indicate durable pricing power and efficient core operations across periods. Sustained margin levels support internal R&D funding, steady operating cash generation and the ability to maintain shareholder returns even if top-line growth slows.
Negative Factors
Elevated financial leverage
Leverage materially above historical (and peer) norms increases financial risk and reduces flexibility. Higher debt levels elevate interest burden, constrain capital allocation choices for M&A or R&D, and make the company more sensitive to cash-flow shocks or rising rates despite recent moderation in leverage.
Read all positive and negative factors
Positive Factors
Negative Factors
High profitability / margins
Recordati’s consistently high gross and EBITDA margins indicate durable pricing power and efficient core operations across periods. Sustained margin levels support internal R&D funding, steady operating cash generation and the ability to maintain shareholder returns even if top-line growth slows.
Read all positive factors
Recordati Industria Chimica e Farmaceutica SPA (REC) vs. iShares MSCI Italy ETF (EWI)
Market Cap
€10.66B
Dividend Yield2.59%
Average Volume (3M)218.69K
Price to Earnings (P/E)21.3
Beta (1Y)0.49
Revenue Growth9.10%
EPS Growth22.99%
CountryIT
Employees4,700
SectorGeneral
Sector StrengthN/A
IndustryMedical - Pharmaceuticals
Share Statistics
EPS (TTM)2.43
Shares Outstanding209,125,150
10 Day Avg. Volume203,691
30 Day Avg. Volume218,687
Financial Highlights & Ratios
PEG Ratio3.24
Price to Book (P/B)5.20
Price to Sales (P/S)3.81
P/FCF Ratio19.49
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
€50.00Price Target Upside-2.63% Downside
Rating ConsensusHold
Number of Analyst Covering1
EPS Forecast (FY)3.17
Revenue Forecast (FY)€2.78B
Recordati Industria Chimica e Farmaceutica SPA Business Overview & Revenue Model
Company Description
Recordati Industria Chimica e Farmaceutica S.p.A., together with its subsidiaries, researches, develops, produces, and sells pharmaceuticals in Italy, the United States, Spain, France, Germany, Russia, Ukraine, Turkey, Portugal, North Africa, and ...
How the Company Makes Money
Recordati makes money mainly by selling pharmaceutical products, generating revenue from two principal streams: (1) specialty & primary care/branded prescription medicines marketed in key geographies (notably Europe and other international markets...
Recordati Industria Chimica e Farmaceutica SPA Financial Statement Overview
Summary
Income Statement
86
Very Positive
Balance Sheet
68
Positive
Cash Flow
76
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.71B | 2.62B | 2.34B | 2.08B | 1.85B | 1.58B |
| Gross Profit | 1.91B | 1.79B | 1.60B | 1.42B | 1.29B | 1.15B |
| EBITDA | 990.97M | 887.00M | 795.37M | 708.16M | 559.35M | 578.35M |
| Net Income | 497.18M | 443.62M | 416.51M | 389.21M | 312.34M | 385.97M |
Balance Sheet | ||||||
| Total Assets | 5.37B | 5.25B | 5.13B | 4.21B | 4.00B | 2.82B |
| Cash, Cash Equivalents and Short-Term Investments | 391.38M | 428.82M | 322.42M | 221.81M | 284.73M | 244.58M |
| Total Debt | 2.31B | 2.47B | 2.49B | 1.46B | 1.72B | 992.19M |
| Total Liabilities | 3.24B | 3.33B | 3.26B | 2.52B | 2.45B | 1.43B |
| Stockholders Equity | 2.13B | 1.92B | 1.88B | 1.69B | 1.55B | 1.38B |
Cash Flow | ||||||
| Free Cash Flow | 581.83M | 511.77M | 535.10M | 102.06M | 365.35M | 404.29M |
| Operating Cash Flow | 644.69M | 596.90M | 569.92M | 485.32M | 461.69M | 491.65M |
| Investing Cash Flow | -115.40M | -80.84M | -844.94M | -379.62M | -767.12M | -87.50M |
| Financing Cash Flow | -493.31M | -407.02M | 372.11M | -168.91M | 341.28M | -355.94M |
Recordati Industria Chimica e Farmaceutica SPA Technical Analysis
Positive
51.35
Price Trends
51.19
Positive
49.74
Positive
48.96
Positive
Market Momentum
0.10
Positive
53.64
Neutral
38.89
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:REC, the sentiment is Positive. The current price of 51.35 is below the 20-day moving average (MA) of 51.40, above the 50-day MA of 51.19, and above the 200-day MA of 48.96, indicating a bullish trend. The MACD of 0.10 indicates Positive momentum. The RSI at 53.64 is Neutral, neither overbought nor oversold. The STOCH value of 38.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:REC.
Recordati Industria Chimica e Farmaceutica SPA Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | €10.66B | 21.26 | 24.25% | 2.61% | 9.10% | 22.99% | |
66 Neutral | €3.88B | 22.38 | 11.29% | 1.95% | -3.10% | -27.86% | |
60 Neutral | €3.28B | 41.72 | 6.80% | 2.63% | -0.48% | -47.11% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% | |
43 Neutral | €11.49M | -0.34 | 17.04% | ― | 74.59% | ― |
* General Sector Average
IT:REC
Recordati Industria Chimica e Farmaceutica SPA
51.65
2.42
4.91%
IT:AMP
Amplifon S.p.A.
12.15
-1.92
-13.65%
IT:DIA
DiaSorin S.p.A.
71.86
-11.57
-13.87%
IT:FDA
Fidia Spa
0.01
-0.29
-96.70%
Recordati Industria Chimica e Farmaceutica SPA Corporate Events
Recordati reports executive share transactions under performance plan
Jul 30, 2026
Recordati disclosed several share transactions involving Robert Koremans, who performs administrative functions at the company, as part of regulatory reporting for persons with managerial responsibilities. The trades occurred on 29 July 2026 on th...
Recordati extends rare disease-led growth, lifts profitability in H1 2026
Jul 28, 2026
Recordati reported consolidated net revenues of €1.41 billion for the first half of 2026, up 6.6% year-on-year, driven primarily by strong momentum in its Rare Diseases business despite adverse currency effects. Rare disease revenues rose 17...
Respighi BidCo Sets Timetable for Tender Offer on Recordati Shares
Jul 8, 2026
Respighi BidCo S.p.A. has launched a voluntary full public tender offer for all ordinary shares of Recordati S.p.A., with the Italian securities regulator CONSOB approving the official offer document. The document will be made available via the co...
CONSOB Resumes Review of Respighi BidCo Tender Offer for Recordati
Jul 2, 2026
Respighi BidCo S.p.A. has launched a voluntary full public tender offer for all ordinary shares of Recordati S.p.A., and the Italian securities regulator CONSOB has resumed its review of the offer document. The review period will restart on 3 July...
Recordati Investors Amend Tender Offer Pact to Allow Derivative Exposure
Jun 24, 2026
Recordati’s shareholders and investment partners, including CVC Capital Partners and GBL, have an existing investment agreement tied to a voluntary public tender offer by Respighi BidCo for all Recordati ordinary shares listed on Euronext Mi...
CVC boosts economic stake in Recordati via swap as tender offer advances
Jun 20, 2026
Respighi BidCo, which has launched a voluntary takeover bid for all ordinary shares of Recordati, disclosed that concert party CVC Capital Partners IX Aggregator has entered into a total return swap with UniCredit on up to 10.25 million Recordati ...
CVC-Backed Vehicles Tighten Grip on Recordati Amid Voluntary Takeover Bid
Jun 20, 2026
Respighi BidCo S.p.A., backed by CVC-related investors, is pursuing a voluntary full takeover bid for all ordinary shares of Recordati S.p.A., offering €51.29 per share. As part of this strategy, CVC Investor has entered into a total return ...
Recordati Investors Amend Deal to Allow Derivative Swaps in Ongoing Tender Offer
Jun 19, 2026
Recordati announced that CVC Capital Partners and GBL-backed Black Mountain have amended their investment agreement related to the ongoing voluntary public tender offer by Respighi BidCo for all Recordati shares, enabling the CVC investor to enter...
CONSOB Halts Review of Respighi BidCo’s Takeover Offer for Recordati
Jun 19, 2026
Respighi BidCo S.p.A. has filed an offer document with the Italian securities regulator CONSOB for a voluntary full takeover bid for all ordinary shares of Recordati S.p.A., but the regulator has temporarily suspended its review. CONSOB has reques...
Recordati Sells Treasury Shares to Satisfy Stock Option Exercises
Jun 5, 2026
Recordati has executed several sales of treasury shares in May 2026 to beneficiaries of its stock option plans, following the exercise of options previously granted under these incentive schemes. The transactions, carried out on the Italian market...
Recordati’s Main Shareholder Backs CVC‑Led Bid to Delist Drugmaker from Euronext Milan
May 27, 2026
Recordati disclosed that Respighi BidCo, backed by CVC and GBL, has entered into an investment and partnership framework to launch a voluntary tender offer for all Recordati ordinary shares listed on Euronext Milan, with the goal of delisting the ...
Recordati Accelerates Performance Share Plan Ahead of Delisting Bid
May 27, 2026
Recordati has moved to accelerate the 2024 and 2025 cycles of its 2023–2025 Performance Share Plan following the announcement of a voluntary public tender offer aimed at delisting the company. The board has resolved that, if the conditions l...
Respighi BidCo concert parties lift stakes in Recordati during takeover bid
May 27, 2026
Respighi BidCo S.p.A., which has launched a voluntary full takeover bid for all ordinary shares of Recordati, reported that concert party Black Mountain S.à r.l. bought 603,747 Recordati shares on 27 May 2026 at a weighted average price of &#...
Bid Consortium Tightens Grip on Recordati With Fresh Share Purchases
May 22, 2026
Investors linked to the voluntary takeover bid for Recordati, led by Respighi BidCo, have increased their stake in the Italian drugmaker through sizeable open-market purchases. The move underlines the determination of the bidding consortium, backe...
Respighi BidCo launches premium tender offer to take Recordati private and delist from Euronext Milan
May 22, 2026
Respighi BidCo S.p.A. has decided to launch a voluntary totalitarian tender offer for all 209,125,156 ordinary shares of Recordati, including treasury shares, with the goal of acquiring 100% of the share capital and delisting the company from Euro...
CVC and GBL launch €10.7bn bid to take Recordati private
May 22, 2026
A consortium led by CVC Fund IX and Groupe Bruxelles Lambert has launched a voluntary cash tender offer for all outstanding ordinary shares of Recordati at €51.29 per share, valuing the deal at about €10.7 billion. The bid, executed vi...
Recordati lifts Q1 revenues on rare disease strength and advances key pipeline programs
May 12, 2026
Recordati reported first-quarter 2026 consolidated net revenues of €713.4 million, up 4.9% overall and 8.7% on a like-for-like basis at constant exchange rates, driven chiefly by strong growth in its Rare Diseases business. EBITDA rose 5.0% ...
Recordati Sells Treasury Shares to Satisfy Stock Option Exercises
May 6, 2026
Recordati has disclosed the sale of treasury shares to beneficiaries of its stock option plans, following the exercise of options previously granted under these incentive schemes. The sale price for the shares matches the original exercise price s...
Recordati Publishes Voting Summary from 29 April 2026 Shareholders’ Meeting
Apr 30, 2026
Recordati has announced that the summary report of the votes on resolutions approved at its Ordinary and Extraordinary Shareholders’ Meeting held on 29 April 2026 is now available to investors. The report can be consulted on the company̵...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.