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Research Alert: West Pharmaceuticals: Q1 Results Crush Estimates, Guidance Raised

-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

West delivered Q1 EPS of $2.13 (+46.9% Y/Y) vs. the $1.68 consensus and net sales of $844.9M (+21.0% Y/Y) vs. the $779.4M consensus, significantly exceeding expectations. HVP Components revenue reached $409.3M (+29.6% Y/Y), now comprising 48% of total sales, while GLP-1 exposure expanded to 18% of net sales. Gross margin improved 190 bps to 35.1% while adjusted operating margin rose 350 bps to 21.4%, supported by favorable product mix toward HVP components. Strength in Westar and NovaPure products, combined with double-digit non-GLP-1 organic growth, indicates broad-based demand recovery beyond diabetes/obesity treatments, in our view. Given strong Q1 performance, WST raised 2026 guidance significantly with net sales to $3.295B-$3.350B and adjusted EPS to $8.40-$8.75, representing 15.2%-20.0% growth.

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CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We trim our 12-month target price by $8 to $155, valuing HIG shares at 11.3x our 2026 operating EPS estimate of $13.75 (cut by $0.45) and at 10.6x our 2027 EPS estimate of $14.65 (cut by $0.30), vs. the shares' one-year average forward multiple of 10.3x and peer average of 13x. Q1 EPS of $3.09 vs. $2.20 a year ago missed our $3.60 estimate and $3.39 consensus view. Operating revenue growth of 6.2% was in line with our 6%-10% forecast, amid 5.3% earned premium growth, 13% higher net investment income, and 7.9% fee revenue growth. Q1 written premium growth of 4% and full-year 2025 growth of 7% bode well for 2026 revenue trends as premiums are earned. Underwriting results improved significantly, with Personal Lines combined ratio improving to 87.7% from 106.1% and underlying combined ratio to 85.0% from 89.7%. Business Insurance combined ratio was stable at 94.8%. Weighing the Q1 EPS miss with HIG's decent top-line growth and discounted valuation to peers, we view the shares as undervalued.

$HIG
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Research Alert: CFRA Keeps Strong Buy Opinion On Shares Of Baker Hughes

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We raise our 12-month target price by $14 to $82, reflecting a combination of our sum-of-the-parts (SOTP) and DCF models. For our SOTP model, we presume the oilfield services business (about 50% of BKR's franchise) to be valued at about 10x projected 2027 EBITDA (in line with major peers) and its industrial energy technology business (the other 50%) valued at 14x projected 2027 EBITDA (in line with the peer median). This blended approach, yielding a 12x multiple, implies a value of $73 per share. Meanwhile, our DCF model, using medium-term free cash flow growth of 5% per year, terminal growth of 2.5%, discounted at a WACC of 6.3%, yields intrinsic value of $91 per share. We cut our 2026 EPS estimate by $0.47 to $2.48, but we raise 2027's by $0.07 to $3.24. We acknowledge that the oilfield services business is likely to struggle in 2026 owing to the U.S.-Iran conflict, but the IET business appears quite robust and likely to be a source of both accelerating revenue growth and margins.

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Research Alert: CFRA Maintains Hold Opinion In Shares Of Wab

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