Reasons why West Pharmaceutical Services Inc.’s (NYSE:WST) fundamentals are futile

The price of West Pharmaceutical Services Inc. (NYSE:WST) shares last traded on Wall Street rose 0.58% to $254.51.

Based on available information, 10 analysts follow West Pharmaceutical Services Inc. (NYSE:WST). The consensus rating among analysts is ‘Overweight’. As we calculate the median target price by taking the range between a high of $315.00 and a low of $206.00, we find $250.00. Given the previous closing price of $253.04, this indicates a potential downside of -1.2 percent. WST stock price is now 8.16% away from the 50-day moving average and -11.39% away from the 200-day moving average. The market capitalization of the company currently stands at $18.65B.

Among analysts, 5 rate the stock a hold while 3 rate it a buy. Brokers who have rated the stock have averaged $258.71 as their price target over the next twelve months.

With the price target of $250, Deutsche Bank recently initiated with Hold rating for West Pharmaceutical Services Inc. (NYSE: WST). On November 30, 2022, UBS recently initiated its ‘Neutral’ rating on the stock quoting a target price of $250, while ‘BofA Securities’ rates the stock as ‘Neutral’.

In other news, Green Eric Mark, President & CEO sold 44,000 shares of the company’s stock on Dec 05. The stock was sold for $10,515,518 at an average price of $238.99. Upon completion of the transaction, the President & CEO now directly owns 114,922 shares in the company, valued at $29.25 million. An SEC document containing details of the transaction can be found on the SEC’s website. On Aug 02, Sr VP, CFO & COO Birkett Bernard sold 14,174 shares of the business’s stock. A total of $4,836,074 was realized by selling the stock at an average price of $341.19. This leaves the insider owning 795 shares of the company worth $0.2 million. Insiders disposed of 72,679 shares of company stock worth roughly $18.5 million over the past 1 year. A total of 0.20% of the company’s stock is owned by insiders.

There have been several recent changes in the stakes of large investors in WST stock. A new stake in West Pharmaceutical Services Inc. shares was purchased by T. ROWE PRICE INVESTMENT MANAGEMENT, INC. during the first quarter worth $434,638,000. WORLDQUANT MILLENNIUM ADVISORS LLC invested $9,891,000 in shares of WST during the first quarter. In the first quarter, SCHONFELD STRATEGIC ADVISORS LLC acquired a new stake in West Pharmaceutical Services Inc. valued at approximately $5,579,000. AMALGAMATED FINANCIAL CORP. acquired a new stake in WST for approximately $5,468,000. STRS OHIO purchased a new stake in WST valued at around $5,090,000 in the second quarter. In total, there are 1,004 active investors with 95.50% ownership of the company’s stock.

A candlestick chart of West Pharmaceutical Services Inc. (NYSE: WST) showed a price of $254.02 on Wednesday morning. During the past 12 months, West Pharmaceutical Services Inc. has had a low of $206.19 and a high of $424.00. As of last week, the company has a debt-to-equity ratio of 0.08, a current ratio of 3.80, and a quick ratio of 2.90. The fifty day moving average price for WST is $235.30 and a two-hundred day moving average price translates $287.21 for the stock.

The latest earnings results from West Pharmaceutical Services Inc. (NYSE: WST) was released for Sep, 2022. According to the Medical Instruments & Supplies Company, earnings per share came in at $2.03, missing analysts’ expectations of $2.12 by -0.09. This compares to $2.31 EPS in the same period last year. The net profit margin was 21.70% and return on equity was 26.40% for WST. The company reported revenue of $686.9 million for the quarter, compared to $706.5 million a year earlier. Comparatively to last year’s same quarter, the company’s quarterly revenue fell -2.77 percent. For the current quarter, analysts expect WST to generate $739.01M in revenue.

Moreover, the firm recently paid out its quarterly dividend on 02/01/2023. Investors who held shares on 01/25/2023 were paid a $0.19 dividend. On an annualized basis, this represents a $0.76 dividend and a 0.30% percent yield. There was an ex-dividend date of 01/24/2023 for this dividend. In terms of dividend payout ratio, WST is presently at 8.50%.

West Pharmaceutical Services Inc.(WST) Company Profile

West Pharmaceutical Services, Inc. designs, manufactures, and sells containment and delivery systems for injectable drugs and healthcare products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates in two segments, Proprietary Products and Contract-Manufactured Products. The Proprietary Products segment offers stoppers and seals for injectable packaging systems; syringe and cartridge components, including custom solutions for the needs of injectable drug applications, as well as administration systems that enhance the safe delivery of drugs through advanced reconstitution, mixing, and transfer technologies; and films, coatings, washing, and vision inspection and sterilization processes and services to enhance the quality of packaging components. It also provides drug containment solutions, including Crystal Zenith, a cyclic olefin polymer in the form of vials, syringes, and cartridges; and self-injection devices, as well as a range of integrated solutions, including analytical lab services, pre-approval primary packaging support and engineering development, regulatory expertise, and after-sales technical support. This segment serves biologic, generic, and pharmaceutical drug companies. The Contract-Manufactured Products segment is involved in the design, manufacture, and automated assembly of devices used in surgical, diagnostic, ophthalmic, injectable, and other drug delivery systems, as well as consumer products. It serves pharmaceutical, diagnostic, and medical device companies. The company distributes its products through its sales force and distribution network, as well as contract sales agents and regional distributors. West Pharmaceutical Services, Inc. was incorporated in 1923 and is headquartered in Exton, Pennsylvania.