UPDATE: Citigroup Initiates Warner Chilcott PLC with Neutral on Pending Activities Execution
In a report published Friday, Citigroup analyst Liav Abraham initiated coverage on Warner Chilcott PLC (NASDAQ: WCRX) with a Neutral rating and $14.50 price target.
In the report, Abraham noted, “While we acknowledge that the valuation of WCRX is materially lower than that of its peer group, at a 2014e earnings multiple of 4x vs. the sector average of 14x, we forecast a negative 5-year overall revenue CAGR of -5% vs. the peer group average of +7%. We prefer to remain on the sidelines pending execution on business development activities that could contribute to the company's longer term growth profile.”
Warner Chilcott PLC closed on Thursday at $13.51.
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