West Pharmaceutical Services, Inc. (NYSE:WST) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• West Pharmaceutical Services, Inc. has received an average recommendation of "Moderate Buy" from nine brokerages, with a price target ranging from $275 to $350.
• In its latest quarter, the company reported $1.84 EPS, surpassing analyst expectations, along with a revenue growth of 9.2% year-over-year.
• The firm announced an increase in its quarterly dividend to $0.22, reflecting a positive change from $0.21, with a dividend yield of 0.33%.

Shares of West Pharmaceutical Services, Inc. (NYSE:WST - Get Free Report) have been assigned an average recommendation of "Moderate Buy" from the nine brokerages that are currently covering the firm, MarketBeat.com reports. Two analysts have rated the stock with a hold recommendation, six have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1 year price objective among brokerages that have issued a report on the stock in the last year is $320.71.

Several equities research analysts have weighed in on the company. UBS Group upped their price target on West Pharmaceutical Services from $285.00 to $320.00 and gave the stock a "buy" rating in a report on Friday. Evercore ISI increased their price target on West Pharmaceutical Services from $275.00 to $350.00 and gave the company an "outperform" rating in a research report on Friday. Wall Street Zen raised West Pharmaceutical Services from a "hold" rating to a "buy" rating in a research report on Saturday. Citigroup reaffirmed a "buy" rating on shares of West Pharmaceutical Services in a research report on Thursday, May 22nd. Finally, Stephens raised West Pharmaceutical Services to a "strong-buy" rating in a research report on Monday, April 21st.

Hedge Funds Weigh In On West Pharmaceutical Services

Several large investors have recently bought and sold shares of WST. Zions Bancorporation National Association UT acquired a new stake in shares of West Pharmaceutical Services during the first quarter worth about $25,000. Quarry LP acquired a new stake in shares of West Pharmaceutical Services during the first quarter worth about $27,000. First Horizon Advisors Inc. increased its position in shares of West Pharmaceutical Services by 85.0% during the first quarter. First Horizon Advisors Inc. now owns 185 shares of the medical instruments supplier's stock worth $41,000 after purchasing an additional 85 shares in the last quarter. Cromwell Holdings LLC increased its position in shares of West Pharmaceutical Services by 587.5% during the second quarter. Cromwell Holdings LLC now owns 220 shares of the medical instruments supplier's stock worth $48,000 after purchasing an additional 188 shares in the last quarter. Finally, Opal Wealth Advisors LLC acquired a new stake in shares of West Pharmaceutical Services during the first quarter worth about $53,000. Hedge funds and other institutional investors own 93.90% of the company's stock.

West Pharmaceutical Services Trading Down 5.7%

Shares of WST stock opened at $263.32 on Friday. The company has a debt-to-equity ratio of 0.08, a quick ratio of 2.03 and a current ratio of 2.77. The stock has a market capitalization of $18.92 billion, a P/E ratio of 39.42, a price-to-earnings-growth ratio of 6.28 and a beta of 1.09. The company has a 50 day moving average price of $220.56 and a 200 day moving average price of $239.22. West Pharmaceutical Services has a fifty-two week low of $187.43 and a fifty-two week high of $352.33.

West Pharmaceutical Services (NYSE:WST - Get Free Report) last announced its quarterly earnings data on Thursday, July 24th. The medical instruments supplier reported $1.84 earnings per share for the quarter, beating analysts' consensus estimates of $1.51 by $0.33. West Pharmaceutical Services had a net margin of 16.48% and a return on equity of 18.81%. The firm had revenue of $766.50 million during the quarter, compared to analysts' expectations of $725.11 million. During the same quarter in the previous year, the business posted $1.52 earnings per share. The business's quarterly revenue was up 9.2% compared to the same quarter last year. Equities research analysts predict that West Pharmaceutical Services will post 6.62 EPS for the current fiscal year.

West Pharmaceutical Services Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, November 19th. Investors of record on Wednesday, November 12th will be issued a $0.22 dividend. This represents a $0.88 annualized dividend and a yield of 0.33%. The ex-dividend date of this dividend is Wednesday, November 12th. This is a positive change from West Pharmaceutical Services's previous quarterly dividend of $0.21. West Pharmaceutical Services's dividend payout ratio is 13.19%.

West Pharmaceutical Services Company Profile

West Pharmaceutical Services, Inc designs, manufactures, and sells containment and delivery systems for injectable drugs and healthcare products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates in two segments, Proprietary Products and Contract-Manufactured Products.

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