Its a disappointingly muted response to excellent figures but as Ijat suggests, its probably as much to do with a general disenchantment with UK equities (and a Labour government that seems confused as to how to promote economic growth)as concern re the China situation.Long term buy but there's a lot more immediate excitement and opportunity on Wall Street PS....i presume that Starmer and Reeves must be disappointed that billions is earmarked for expansion in the USA. |
Shorters were probably prepared to sink it deeper but the results disappointed them.
So any small negative becomes a big issue to justify the drop.
Same things happen in the opposite way for many companies, as usual: Bad results followed by +5% rise. |
While I think the China issues will turn out to be manageable, there is some doublespeak going on…..how many China CEOs are detained without the Company being under investigation……not notified of being investigated is doing the heavy lifting.
I expect a substantial fine and undertakings to do better….in the meantime it is a reason for people to not invest…why would you if you can buy other Pharma without the dark cloud…..however when there is certainty is when the share price can begin to rise.
Those with a 2-3 year time horizon may be well rewarded here by buying in this trough….or you can join the rally when it looks more certain in 12-24months. |
Probably just the UK market at a guess an unbelievable reaction to excellent results. |
Could it be the currency effect that cancelled the positives ? |
Looking very good would never have bought at £130 but at £98 I had to, it seemed far to low for a problem affecting less than 5% of profit. |
Upgrade to full year guidance on the back of some great numbers.Great figures across the board will hopefully ease the China situation and we should have a great day with the share price.Fingers crossed. |
 Shore Capital has maintained its ‘buy’ rating on the stock, seeing it as undervalued despite the growing uncertainty. “Q3 results next week could help to allay some of these concerns,” analysts said.
Astrazeneca is due to report its third-quarter results on Tuesday. Investors will be on the lookout for additional product approvals as well as the progress of newly-launched treatments.
Wall Street expects quarterly earnings of $1.01 (78p) per share, an increase of over 16 per cent year over year. Revenue estimates are also up, projected at $13bn (£10bn), annual growth of around 13.5 per cent.
At the half year point, Astrazeneca upgraded its revenue guidance thanks to strong underlying growth in product sales and Alliance Revenue within The company raised its total revenue and core EPS guidance for 2024.
But this “hasn’t been enough to give a further shot in the arm to market sentiment,” said Derren Nathan, head of equity analysis at Hargreaves Lansdown.
“At the third-quarter health check, the market is likely to be paying close attention to the pace of adoption of some core products, and there’s hope that recent approvals will provide a tailwind to growth,” he added.
Overall, analysts reckon the company is on track to hit its $80bn (£62bn) revenue target and a mid-thirties operating margin by 2030.
“Markets aren’t expecting any change to that longer-term steer, but some further reassurance wouldn’t go amiss. The same could be said about some further detail on the investigation by the Chinese authorities into AstraZeneca’s President in the region, Leon Wang,” Nathan said. |
AstraZeneca has explaining to do after £50 billion value wipe out
At the start of September when its share price was at an all-time high
and it was comfortably the UK’s largest company,
AstraZeneca PLC (LSE:AZN) management might have been expecting a routine
third-quarter update.
Two months on however and £50 billion has been wiped from its value
with growing questions over its pipeline and operation in China.
Poor trial results and some questionable PR – putting out a three-
sentence response to the China issue during the middle of Rachel
Reeves’ Budget speech for example - have added to the unease.
The trial disappointments surround its dato-DXd cancer drug and its
fledgling move into the weight loss drug arena.
In China, AstraZeneca has confirmed its president there Leon Wang
is co-operating with the authorities as part of an ongoing investigation
but has given no details, saying it will not comment on speculative media reports.
Some City commentators have suggested that the pharma is not directly
involved and the share price fall is exaggerated.
ShoreCap, in a detailed look at the issue, added Astra could help
alleviate investor concerns by providing clarity on its China business and
reaffirming its growth prospects in the third quarter update.
Whether it chooses to remains to be seen
proactiveinvestors.co.uk |
I suppose in retrospect an IPO of the China business as discussed a year or so ago would have been a good idea |
Seems its in oncology results were massaged to qualify for state insurance but AZN is not being blamed ,sales of such drugs are less than 5% of chinese revenue and not greatly profitable.
Looks like they have thrown out the baby with the bath water. |
Incredible, really. I hope their next income guidance, on the 12th, doesn't contain too much good news as it'll probably make it sink further. |
I'm holding what I've got but not adding until this mess is cleaned up.
AZN now my smallest portfolio holding by value. |
I reckon 9461p then may have a look. |
Horrible drop, looking to buy v soon. |
Pulled the trigger this morning topped up 50% of what I was going to buy will hold fire with the rest until next week. I keep thinking for 13% of sales this fall is overdone its not as if they will lose all of China sales .
Ok some fine as well its part of doing business in China. |
And still the shareprice goes south even after that AstraZeneca statement - not good at all..
Going nowhere but down until this claimed fraud is cleared by the chinese.
Chart support around 8000p / 8500p |
I think further to fall, investors hate uncertainty. |
well done for holding off, it's dropping off again! |
Yep, it's boll*xed for now. |
More bad news |
I was thinking about adding today but will hold off buying until the Trump euphoria subsides. |
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