- West Pharma has increased its FY adjusted EPS forecast to fall between $7.63 and $7.88 from a previous range of $7.50 to $7.75. Previously, the estimated value was $7.63.
- The Q1 results include net sales of $695.4 million, suffering a decrease of 3% from the previous year. The estimated value was $670.8 million.
- The proprietary products generated net sales of $559.5 million, which is a decrease of 4% from the previous year. The estimated value was $533 million.
- Contract manufacturing net sales amounted to $135.9 million, an increase of 1.8% from the previous year, against an estimated value of $139.3 million.
- The company’s adjusted operating income was $123.0 million, which was 25% less than the previous year. The estimated value was $111.6 million.
- The Company is reaffirming its net sales guidance for the full year of 2024 to fall within the range of $3.000 billion to $3.025 billion.
- An estimated currency headwind of roughly $8.0 million has been factored into the net sales guidance based on the current foreign currency exchange rates.
- The Company has increased the full-year 2024 adjusted-diluted EPS guidance to a new range of $7.63 to $7.88 from the previously forecasted range of $7.50 to $7.75.
- The revised FY adjusted-diluted EPS guidance contains an estimated headwind roughly of $0.04 due to current foreign currency exchange rates, which is an increase from the past guidance of $0.02.
West Pharmaceutical Services Inc on Smartkarma
Analyst coverage on West Pharmaceutical Services Inc on Smartkarma has been positive, with research reports by Baptista Research highlighting key drivers for the company’s growth. In a report titled “West Pharmaceutical Services: Regulatory Shift Driving Increased Demand for High Value Products! – Major Drivers,” the analysts discussed the company’s recent financial results, noting significant base growth in 2023 driven by expanding customer demand for high value products and contract manufacturing services.
Another report by Baptista Research, “West Pharmaceutical Services Inc.: Why Is The Capacity Expansion Required? – Major Drivers,” pointed out a mixed set of results for the previous quarter, with revenues below expectations but a managed earnings beat. Despite a decline in COVID-19-related sales, the company saw impressive organic net sales growth. However, adjustments were made due to large customers managing safety stocks. Overall, the analyst sentiment leans bullish on West Pharmaceutical Services Inc based on these reports.
A look at West Pharmaceutical Services Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
West Pharmaceutical Services, Inc. is positioned for a promising long-term outlook, as indicated by its robust Smart Scores across key factors. With above-average scores in Growth, Resilience, and Momentum, the company shows strength in its potential for expansion, ability to weather economic uncertainties, and positive market performance trend, respectively. This positions West Pharmaceutical Services Inc. as a company with solid growth prospects and resilience to market volatilities, making it an attractive option for investors seeking stability and potential.
As a provider of value-added services in the healthcare market, West Pharmaceutical Services, Inc. leverages its expertise in packaging components, drug delivery systems, and contract laboratory services to support the global development of new drug therapies and healthcare products. With balanced scores in Value and Dividend, the company offers a mix of growth opportunities and potential income generation for investors, reinforcing its position as a well-rounded investment choice in the healthcare sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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