Goldman Sachs Reiterates Buy Rating, $18.30 PT on WuXi PharmaTech on In-Line Revenue

In a report published Friday, Goldman Sachs reiterated its Buy rating and $18.30 price target on WuXi PharmaTech (NYSE: WX).Goldman Sachs noted, “WX reported in-line 2012 revenue/GAAP NPAT of US$500/87 mn, up 22.8%/7% yoy (GHe of US$498/85 mn). 4Q12 revenue non-GAAP NPAT of US$126/27.5 mn, up 15.8/2.1%. We maintain Buy and believe company execution could support sequential revenue growth in 2013. We see the ramp-up of new business (tox/biologics) as a key to margin sustainability and earnings growth, fending off pricing pressure in synthetic chemistry. We fine tune our 2013-15 revenue forecast by -2%/-4%/-4% and EPS forecast by -4%/-6%/-8% to reflect lower GP/OP margin.”WuXi PharmaTech closed on Thursday at $17.30.