Citi Projects 16% Upside For Becton Dickinson In Upgrade
Medical supplier Becton Dickinson and Co (NYSE: BDX) is likely to outperform its own expectations, as well as the Street's, according to Citi.
The Analyst
Analyst Amit Hazan upgraded Becton Dickinson from Neutral to Buy and increased the price target from $237 to $251, suggesting 16-percent upside.
The Thesis
A strong setup for upside to the 2018 guidance and Street estimates appears to be in place, starting with the fiscal second quarter, mainly due to the Becton Dickinson side of the business, Hazan said in a Tuesday note. (See the analyst's track record here.)
The company recently completed its acquisition of C.R. Bard; the combined company has annualized revenues of $16 billion.
Bard's growth is a key uncertainty, Hazan said.
Citi's new drug-coated balloon, or CDB, survey indicated that market growth coupled with new indications can help maintain DCBs as at least one important Bard growth driver.
The Price Action
Becton Dickinson shares have gained over 18 percent over the past year through Monday.
At last check Tuesday, the shares were rallying 2.73 percent to $223.33.
Related Links:
Jim Cramer Shares His Thoughts On Hain Celestial, Becton Dickinson And Carnival Corp.
The Week Ahead In Biotech: PDUFA Dates, IPOs And More
Latest Ratings for BDX
Apr 2018 | Citigroup | Upgrades | Neutral | Buy |
Mar 2018 | BMO Capital | Initiates Coverage On | Market Perform | |
Feb 2018 | Morgan Stanley | Maintains | Equal-Weight | Equal-Weight |
View More Analyst Ratings for BDX
View the Latest Analyst Ratings
See more from Benzinga
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
