The latest Market Talks covering the Health Care sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0353 GMT - Top Glove's earnings are poised to improve this fiscal year, driven by a strong demand recovery, Kenanga IB analyst Raymond Choo Ping Khoon says in a note. Its management guided for a sustained strong growth momentum, as customers are replenishing depleted glove stockpiles and average selling prices are gradually increasing amid growing demand, he notes. The Malaysian company's U.S. exports also stand to benefit after its trade partner's planned higher tariffs on Chinese glove makers, he says. Meanwhile, higher sales volumes are likely to offset the impact of a stronger ringgit against the dollar, he adds. Choo boosts FY 2025 and FY 2026 net profit forecasts for Top Glove by 39% and 42%, respectively. Kenanga raises the target price to MYR1.02 from MYR0.97 while maintaining a market-perform rating on the stock. Shares are 2.0% higher at MYR1.01. (yingxian.wong@wsj.com)
0216 GMT - Regis Healthcare keeps its status as Macquarie analysts' preferred pick of Australian aged-care providers, with government reforms to the sector further supporting its longer-term outlook. The Macquarie analysts raise their EPS forecasts for fiscal 2028 onwards by an average 13% due to revised funding assumptions from the reforms. They also point out in a note to clients that Regis's balance sheet gives it the capacity for additional acquisitions. Macquarie lifts its target on the stock by 18% to A$6.50 and maintains the outperform rating it has had since October 2022. Shares are up 0.8% at A$6.19. (stuart.condie@wsj.com)
2230 GMT [Dow Jones]--Pfizer's acquisition of Global Blood Therapeutic has proved to be a risky, and ultimately failed, deal for the healthcare company. Pfizer acquired Global Blood Therapeutic to grow its rare-disease business unit through the $5.4 billion deal but, two years after the buyout, it is withdrawing all lots of Global Blood Therapeutics' sickle cell drug Oxbryta due to the health risks. "The data suggest an imbalance in vaso-occlusive crises and fatal events which require further assessment," Pfizer says. Shares fall 0.2% to $28.88. (sabela.ojea@wsj.com)
1545 GMT - Capricor Therapeutics' plan to seek full FDA approval for its cell therapy Deramiocel as a treatment for Duchenne muscular dystrophy-related cardiomyopathy has sent its stock to a 6-year high and grabbed the attention of institutional investors, Oppenheimer analysts Leland Gershell and Rohan Mathur say in a research note. They see a de-risked path for Deramiocel to get FDA approval by 2H of next year, with strong demand to follow as it is the only therapy capable of addressing the leading cause of death in those with Duchenne muscular dystrophy. The therapy has also shown it can improve skeletal muscle function, suggesting that Deramiocel could become a backbone of Duchenne muscular dystrophy treatment, the analysts say. Shares climb 32% to $12.01. (dean.seal@wsj.com)
1429 GMT - Masimo founder and CEO Joe Kiani resigned after shareholders ousted him from the board last week in favor of Darlene Solomon and William Jellison, nominees from Politan Capital Management. Last year, Politan nominees Michelle Brennan and Quentin Koffey were elected. Politan owns 9% of Masimo shares. Kiani and COO Bilal Muhsin previously stated they would resign if Politan won control of the board. In July, Muhsin submitted a conditional resignation letter stating that he has "no intention of remaining" with Masimo if Politan wins control of the board. Masimo shares rise 5% to $132.77. (chris.wack@wsj.com)
(END) Dow Jones Newswires
September 26, 2024 04:20 ET (08:20 GMT)
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