Analyst Recommendations for Celgene Before 3Q15 Earnings Release
Will Celgene Manage to Beat Analyst Estimates in 3Q15?
Analyst recommendations
Based on recommendations received from 21 broker firms in a Bloomberg survey, the consensus rating for Celgene was “BUY” from 81.0% or 17 firms, “HOLD” from 14.3% or 3 firms, and “SELL” from 4.8% or 1 firm.
Mostly positive ratings
The table above lists the 16 brokerage firms that provided a target price for Celgene (CELG) over the next 12 months. The consensus 12-month target price for Gilead Sciences was $142.9, amounting to a 19.0% return compared to Celgene’s last price of $125.8 on October 27, 2015.
The majority of the surveyed firms gave positive ratings to Celgene as the company had a strong product portfolio. The company dominates the hematology landscape with its blockbuster therapy, Revlimid, as well as Pomalyst. Abraxane, used to treat solid tumors, has also registered strong performance, especially in markets outside the United States. Additionally, Celgene has gradually built up its presence in the inflammation and immunology, or I&I, segment through collaborations and acquisitions. Strong top line growth by developing products across various indications and geographic markets is expected to be a key driver of Celgene’s future profitability.
Peer firm recommendations
Based on recommendations received from 24 broker firms in a Bloomberg survey, the consensus rating for Biogen (BIIB) was “BUY” from 65.2% firms and “HOLD” from 34.8% firms. Bloomberg surveyed 23 brokerage firms for Amgen (AMGN). Amgen was rated “BUY” by 54.5% firms and “HOLD” by 45.5% firms. Based on recommendations received from 23 brokerage firms in a Bloomberg survey, the consensus rating for Gilead Sciences (GILD) was “BUY” from 69.6% firms, “HOLD” from 26.1% firms, and “SELL” from 4.3% firms.
Celgene accounts for 0.5% of the iShares Core S&P 500 ETF’s (IVV) total holdings.
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