0712 GMT - Eurofins Scientific's 2027 target of an improvement in profitability seems firmly within reach, but this is no longer enough as the debate among investors shifts back to growth, Bernstein analysts say in a research note. The French lab-testing company has historically delivered sustainable organic sales growth above 6%, but its growth engine now appears structurally weaker, the analysts say. Eurofins is heavily exposed to Europe, where clinical and research-and-development activity remains weak, and this might explain why organic growth in its biopharma business has remained subdued for the past two years, they add. Bernstein cuts its recommendation on Eurofins stock to market perform from outperform, and trims its target price to 73.90 euros from 77.20 euros. Shares fall 2.1% to 77.08 euros.
Comments