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.
1132 ET - Continued transatlantic trade threats reinforce the notion that the European Union must reject the U.S. probe into Germany over drug pricing, the DIHK German Chambers of Commerce's trade chief Volker Treier says. The U.S. in June said it would investigate the German government's plans to reduce spending on pharmaceuticals. There is great concern in German industry that the U.S. could soon impose further tariffs, Treier says. The EU should insist on compliance with the EU-U.S. trade deal agreed on last year, he says. "European regulatory sovereignty must not become a bargaining chip in negotiations with Washington." The EU shouldn't forget its long-term goal of eliminating the WTO-incompatible U.S. tariffs either, Treier notes. (edward.frankl@wsj.com)
0512 ET - PolyPeptide Group's sale to Samsung Biologics should go ahead given the approval of the Swiss group's majority owner, RBC Europe analysts write. The chemicals and pharmaceutical manufacturing group's board recommended an offer from Samsung Biologics valued at around $1.8 billion, or 44.31 Swiss francs a share. Draupnir, which owns a 56% stake in PolyPeptide, committed to tender its ownership share, which "effectively makes this a done deal," the analysts write. Moreover, the deal will likely not provoke any competition fears among regulators, while the offered price looks to be fair, they write. Shares should trade close to the offer price, they add. PolyPeptide stock rises 4.8% to 43.75 Swiss francs. (josephmichael.stonor@wsj.com)
0304 ET - Kalbe Farma's margin pressure is likely to build from 2Q and intensify in 3Q, UOB Kay Hian analysts say in a research report. The analysts cite Indonesian rupiah depreciation, as 30% of the Indonesian company's cost of goods sold comprises raw materials that are denominated in U.S. dollars. Margin pressure will probably intensify in 3Q as cost increases of about 30% in oil-linked active pharmaceutical ingredients, which account for roughly 15% of the company's cost of goods sold, starts to be reflected. The brokerage expects the pharmaceutical company's gross margin to fall to 37.5% in 2026 from 39.8% in 2025. It lowers the stock's target price to 1,100 rupiah from 1,800 rupiah, with an unchanged buy rating. Shares are 0.7% higher at 765 rupiah. (ronnie.harui@wsj.com)
0213 ET - Novo Nordisk's full-year guidance will be the focus of the company's upcoming earnings report, Citi analysts write. Key will be if, and by how much, the company raises its outlook given strong prescription trends of the Wegovy pill and injection, Citi adds. The bank thinks a guidance raise is expected by the market and priced in. Citi forecasts second-quarter adjusted operating income of 27.2 billion Danish kroner, down 9% at constant currencies, with sales 1% lower at 72.7 billion kroner. It expects continued price pressure in both the obesity and diabetes franchises, partially offset by a continued strong performance of the Wegovy weight-loss pill. It raises its target price on the stock to 330 kroner from 290 kroner and keeps its neutral rating. Shares closed at 329.90 kroner. (dominic.chopping@wsj.com)
0138 ET - News that a GSK experimental drug for chronic cough achieved negative results in late-stage studies is disappointing, but the market was cautious on the product's chances, Citi analysts say in a research note. Some saw in the drug, camlipixant, a potential candidate to help the U.K. drugmaker offset the patent expiration of its dolutegravir HIV medication, the analysts say. Still, Citi saw the drug as a high-risk asset and assigned it a 25% probability of success in its estimates, equivalent to just 1% of expected GSK revenue for 2035, they add. Similarly, consensus was cautious, with estimated 2035 sales of 750 million pounds for camlipixant accounting for 2% of group revenue, according to Citi. GSK shares closed 2% lower on Friday. (adria.calatayud@wsj.com)
2237 ET - Bangkok Dusit Medical Services remains a hold call for TTB Wealth Securities on a lack of share-price catalysts, the brokerage's Siriporn Arunothai says in a research report. The hospital network operator's 2026-2028 earnings growth outlook appears mediocre, the analyst says. Its Thai and foreign patient flows remain relatively weak, due to headwinds such as Thailand's economic slowdown and the Middle East conflict, the analyst adds. While the company has boosted capital expenditure for its WellEra mixed-use wellness project, the project's scale and mixed-use nature could increase execution and investment risks. However, the brokerage raises the stock's target price to 21.00 baht from 20.50 baht to reflect a valuation rollover. Shares last closed at 19.70 baht. (ronnie.harui@wsj.com)
1949 ET - Jarden's overweight call on Ramsay Health Care is underpinned by expected improvements in its private-hospital business in Australia. That includes an expanded market share and increase in surgical mix. Analyst Steve Wheen also expects Ramsay to lift capacity utilization and expand margins slightly as it achieves private health insurance agreements that cover wage inflation. "In addition, a re-orientation of the Ramsay portfolio should assist with the business's cash generation and returns," Jarden says, noting Ramsay is selling assets in Europe and at home. It retains a A$45.20/share price target on Ramsay, which ended last week at A$43.12. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
July 20, 2026 16:50 ET (20:50 GMT)
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