Analysts rate Viatris Stock (VTRS:NSD) with a Hold rating and $12 price target

JP Morgan & Company targets down the Viatris stock price to $13.

Based on the Viatris Stock Forecast from 4 analysts, the average analyst VTRS stock price target is USD 12.25 over the next 12 months. Viatris Inc’s average analyst rating is Hold. Stock Target Advisor’s own stock analysis of VTRS stock forecast is Slightly Bearish, which is based on 7 positive signals and 9 negative signals. At the last closing, Viatris stock price was USD 9.39Viatris stock price has changed by +0.18% over the past week, -0.49% over the past month and -30.24% over the last year.

 

About Viatris Stock (VTRS:NSD):

Viatris Inc. operates as a healthcare company worldwide. The company operates in four segments: Developed Markets, Greater China, JANZ, and Emerging Markets. It offers prescription brand drugs, generic drugs, complex generic drugs, biosimilars, and active pharmaceutical ingredients (APIs). The company offers drugs in various therapeutic areas. It provides its medicines in the form of oral solid doses, injectables, complex dosage forms, and APIs to retail and pharmacy establishments, wholesalers and distributors, payers, insurers and governments, and institutions.  Viatris Inc. was founded in 1961 and is headquartered in Canonsburg, Pennsylvania.

 

What we like:

High market capitalization

Viatris stock is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Low volatility

The annual returns for Viatris stock have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Underpriced compared to book value

VTRS stock price is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow

Viatris stock had positive total cash flow in the most recent four quarters.

Positive free cash flow

Viatris stock had positive total free cash flow in the most recent four quarters.

 

What we don’t like:

Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Below median total returns

Viatris stock has under performed its peers on annual average total returns in the past 5 years.

Below median dividend returns

The average income yield of Viatris stock over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to earnings

VTRS stock price is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced on cashflow basis

VTRS stock price is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the stock forecast and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Overpriced on free cash flow basis

VTRS stock price is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Low Earnings Growth

Viatris stock has shown below median earnings growth in the previous 5 years compared to its sector.

Low Revenue Growth

Viatris stock has shown below median revenue growth in the previous 5 years compared to its sector.