Leerink Raises AstraZeneca Price Target

Leerink on Thursday raised AstraZeneca plc (ADR) AZN one-year price target to $77.00 from $76.00 based on a revision of earnings estimates for AstraZeneca's drug Brilinta.

Analysts at Leerink wrote, "we are doubling our peak (2022E) Brilinta forecasts to $3B in anticipation of (a) expected increase in new-to-brand Brilinta prescriptions and (b) increased duration of therapy for existing patients… Increased 2017-22E sales and EPS adds $1 to our DCF; our PT is now $77/ADR."

Leerink rates AstraZeneca as Market Perform. They believe that the drug company is in a good position to introduce at least 10 new drugs to the market in the next five years. However, due to patent expirations, short-term earnings will be challenged.

Shares of AstraZeneca traded recently at $70.23, down 1.1 percent.