Still a sunny day for stock market shares Recordati, which gained 3,8% in the middle of the session, to 42,46 euros (after the 2,6% achieved on Thursday). The shares of the pharmaceutical group score one of the best increases in the Ftse Mib, which in the same minutes travels positive by 0,5 percentage points. On the average for the last month, Recordati gains 13,6%.
The release of first quarter data and the confirmation of budget targets for 2020 triggered the latest rain of purchases on the stock.
In detail, Recordati closed the January-March period with consolidated net revenues for 429,2 million, up 12,1% on an annual basis. There is also a marked improvement inEbitda (+20,1%, to 172,9 million), theoperating profit (+17,8%, to 148,4 million) and theNet income (+20,7%, to 111,2 million).
For estimates on the numbers for 2020, the company informs that no downward revision is necessary, but "given the complex and constantly evolving situation, a result in terms of Ebitda and adjusted net profit is expected in line with the lower limit of the forecasts announced in February" .
For Equity, Recordati's first quarter was positive "at all levels", even if "the turnover included an extra 20 million for restocking of wholesalers/pharmacists in view of the pandemic which will be reabsorbed in the second quarter".
The same analysts evaluate the company's accounts positively also because in the meantime research and development costs have grown by 20% on the year, to 35 million (equal to 8,1% of sales).
Equita – which evaluates Recordati buy with a target price of 46 euros – he also notes that M&A activity is not frozen due to the pandemic: various dossiers are progressing, which leads us to confirm the forecasts for 2021 (which include new acquisitions for 90 million in sales and 40 million of Ebit).
