West Pharmaceutical Services rides on GLP-1 demand and Annex 1 expansion, but margins face pressure from pricing and tariff headwinds.
West Pharmaceutical (WST) might move higher on growing optimism about its earnings prospects, which is reflected by its upgrade to a Zacks Rank #2 (Buy).
The average of price targets set by Wall Street analysts indicates a potential upside of 31.1% in West Pharmaceutical (WST). While the effectiveness of this highly sought-after metric is questionable, the positive trend in earnings estimate revisions might translate into an upside in the stock.
West Pharmaceutical Services, Inc. (NYSE:WST ) Q1 2025 Earnings Conference Call April 24, 2025 9:00 AM ET Company Participants John Sweeney - Vice President of Investor Relations Eric Green - Chairman, President and Chief Executive Officer Bernard Birkett - Senior Vice President and Chief Financial Officer Conference Call Participants Paul Knight - KeyBanc Larry Solow - CJS Securities Justin Bowers - Deutsche Bank Michael Ryskin - Bank of America David Windley - Jefferies Daniel Markowitz - Evercore ISI Thomas DeBourcy - Nephron Research Doug Schenkel - Wolfe Research Matt Etoch - Stephens Patrick Donnelly - Citi Matthew Larew - William Blair Kyle Crews - UBS Operator Good day, and thank you for standing by. Welcome to the West Pharmaceutical Services First Quarter 2025 Earnings Conference Call.
West Pharmaceutical's first-quarter top line continues to benefit from revenue growth in its Proprietary Products segment.
West Pharmaceutical Services (WST) came out with quarterly earnings of $1.45 per share, beating the Zacks Consensus Estimate of $1.22 per share. This compares to earnings of $1.56 per share a year ago.
West Pharmaceutical (WST) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
West Pharmaceutical Services has faced a challenging year, underperforming against the index, with declining volumes, margins, and returns, but remains a strong long-term investment. The company's high-value products segment, driven by GLP-1 medications and biologics, is expected to boost margins and returns significantly. Despite poor timing in share buybacks and management concerns, West's valuation suggests a potential 12.8% annual return, making it a buy.
The price of West Pharmaceutical Services plunged over 38% after it released its Q4 and FY 2024 earnings results on February 13. Shareholders, mostly institutional investors apparently, did not like the bottom-line results nor the uninspiring guidance for 2025. Still, West should not be overlooked, and there may be opportunities if the share price continues to rebound after a market overreaction.
The final trades of the day with the Fast Money traders.
West Pharmaceutical Services, a global provider of solutions for drugs, biologics, gene therapies, and consumer healthcare products, recently announced its Q4 results, surpassing analysts' expectations for both revenue and earnings. The company reported sales of $749 million and adjusted earnings per share of $1.82, compared to $740 million and $1.73, respectively.
West Pharmaceutical Services, Inc. (NYSE:WST ) Q4 2024 Earnings Conference Call February 13, 2025 9:00 AM ET Company Participants John Sweeney - Vice President of Investor Relations Eric Green - Chairman, President & Chief Executive Officer Bernard Birkett - Senior Vice President & Chief Financial Officer Conference Call Participants Michael Ryskin - BofA Global Research Lawrence Solow - CJS Securities Patrick Donnelly - Citigroup Inc. Paul Knight - KeyBanc Capital Markets Matthew Larew - William Blair & Company Justin Bowers - Deutsche Bank David Windley - Jefferies Jacob Johnson - Stephens Inc. Operator Thank you for standing by and welcome to West Pharmaceuticals Fourth Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode.