J.P. Morgan says GSK’s cost cuts look better than expected, but pipeline catalysts remain distant
J.P.
J.P. Morgan said GSK reaffirmed its 2031 sales target of more than £40 billion and announced a restructuring plan that is expected to save £1.9 billion by 2029. The bank said the plan could improve core EBIT margin by about 60 basis points and add roughly 1% to 2030 consensus estimates.
The note said sales of Blenrep and Exdensur were broadly in line with, or slightly below, expectations. J.P. Morgan kept an cautious rating rating, saying the more encouraging phase III pipeline data are mostly due in 2028-30 and that additional clinical evidence is still needed before any rating upgrade.
The note said sales of Blenrep and Exdensur were broadly in line with, or slightly below, expectations. J.P. Morgan kept an cautious rating rating, saying the more encouraging phase III pipeline data are mostly due in 2028-30 and that additional clinical evidence is still needed before any rating upgrade.