ICLR - Icon Syneos Health win Buy ratings as Deutsche Bank takes a fresh look at CROs

Despite the recent weakness in contract research organizations, Deutsche Bank opts to take a favorable view on the subsector, citing industry checks. With stocks down 20 – 30% from the November peak and several names hovering near S&P market multiples, “we find the entry points attractive for this basket of secular compounders,” the team of analysts noted as they said it was time to take a fresh look. “Our positive view is informed by nearly 40 discussions with industry participants, including private companies and private sector capital allocators,” they added, urging investors to make use of the recent weakness in shares. The analysts expect the industry fundamentals to remain solid over the 12 – 18 months and back earnings growth across the subsector. Deutsche Bank has effected several changes to its ratings and price targets on CRO names under its coverage. ICON (NASDAQ:ICLR) upgraded to Buy from Hold with the

For further details see:

Icon, Syneos Health win Buy ratings as Deutsche Bank takes a fresh look at CROs