Morgan Stanley analyst Tejas Savant maintains $Avantor (AVTR.US)$ with a buy rating, and maintains the target price at $27.
According to TipRanks data, the analyst has a success rate of 35.8% and a total average return of -6.9% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Avantor (AVTR.US)$'s main analysts recently are as follows:
Avantor experienced a balanced quarter where the return to growth in Life Science Solutions and Bioprocessing recovery was counterbalanced by a softening in the U.S. semiconductor segment, according to an analyst's post-earnings commentary.
The firm expressed satisfaction with Avantor's robust free cash flow generation in the third quarter and the progressive recovery in bioprocessing and equipment & instrumentation revenue, which surpassed anticipations. Despite the absence of management guidance for 2025, a gradual and consistent enhancement throughout the fiscal year is anticipated.
A decline in the semiconductor sector is overshadowing what is otherwise considered a 'solid' revenue performance, while the primary concern lies with the EBITDA margin miss, casting doubt on the prospect of achieving a 20% EBITDA margin by 2025. Although close to this target is deemed achievable, it is anticipated that this will necessitate assistance from both product mix and additional cost reductions.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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