GLAXF - GSK plc: Long-Term Cash Cow
2024-05-28 03:05:58 ET
Summary
- On May 1, London-based GSK published financial results for the first three months of 2024, which pleasantly surprised me.
- Sales of Jemperli for the first three months of 2024 amounted to about $101 million, up 46.6% from the previous quarter.
- The company has a rich pipeline of investigational vaccines and drugs, many of which have the potential to become "gold standards" in the fight against various viruses and disorders.
- In the short term, I expect the start of a technical correction in the price of GSK shares to $43.5, where I plan to open a long position.
- Consequently, I'm initiating coverage of GSK with a "buy" rating.
GSK plc (GSK), (GLAXF) is one of the largest pharmaceutical companies in Europe, with one of the leading positions in global markets for HIV drugs, and it also has an extensive portfolio of FDA-approved vaccines.
Investment thesis
Since the beginning of 2024, the company's share price has increased by more than 22% and continues to trade well above the 200 EMA, reflecting the optimism of financial market participants about GSK's business prospects even despite the impact of some of the risks, the analysis of which I present further in the article....
GSK plc: Long-Term Cash Cow