Citi maintains neutral on Becton Dickinson with $260 target By

On Thursday, Citi maintained its Neutral rating on Becton Dickinson (NYSE:) with a steady price target of $260.00. The firm has initiated a 90-day Positive Catalyst Watch ahead of the company’s fiscal second-quarter 2024 earnings release. Citi’s outlook suggests that the challenges Becton Dickinson faced in the first quarter, such as foreign exchange headwinds and heightened inflation affecting margins, are expected to ease. Additionally, the firm anticipates that the company’s efforts to scale up the Alaris system will start to yield results in the second half of the fiscal year 2024.

Becton Dickinson encountered significant obstacles in the first quarter of the fiscal year 2024, which included adverse foreign exchange movements and exceptional inflationary pressures. These factors had a pronounced impact on the company’s profit margins. Nonetheless, there is an expectation that these pressures will begin to subside as the fiscal year progresses.

The Positive Catalyst Watch signals that Citi is closely monitoring Becton Dickinson for potential positive developments that could influence the stock’s performance. This includes the progress of the Alaris infusion system, which is expected to experience a production ramp-up in the latter half of the fiscal year. This could potentially be a key driver for the company’s growth and financial performance.

The price target of $260.00 set by Citi reflects the firm’s assessment of Becton Dickinson’s stock value based on the current financial and operational outlook. The Neutral rating indicates that the firm advises investors to maintain their positions in the stock without suggesting an increase or decrease in holdings at this time.

Investors and market watchers will be keeping an eye on Becton Dickinson as it approaches its fiscal second-quarter earnings release, with particular attention to how the company navigates the forecasted easing of headwinds and the anticipated scaling of the Alaris system.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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