Reckitt Benckiser Share Discussion Threads

[deanforester] 21/3/2011 17:47

Bought some today. That fall looks overdone to me.

[batman9] 18/3/2011 08:15

That is in line with the FTSE drop over the few weeks.

[soho2] 16/3/2011 17:37

...3 weeks or so after the result and we have lost over £2...

[gbb483] 23/2/2011 18:14

That caught you out - the drop today was less than the dividend, on a day when virtually every stock was red.

[soho2] 22/2/2011 13:39

last day before they go ex dividend ...tomorrow further drop of 62p...

[batman9] 09/2/2011 16:47

9/02/11 - Panmure Gordon keeps its positive stance on household products group Reckitt Benckiser, it notes that its rating will remain clouded for some time to come.

Reckitt, responsible for brands such as Dettol, Cillit Bang and Nurofen headache pills, produced a mixed picture in its 2010 results. Like-for-like sales growth was in line with expectations, at 4% in the fourth quarter, 5% for the full year on a rounded basis.

The broker notes, however, that sales were slightly light in the final three months at £2.27bn, compared with forecasts of £2.35bn.

"Pharma growth remains strong however and the fact that Suboxone film strips [its opioid dependence treatment product] have already grabbed 25% of the market in the US does reduce the potential hit to generics if and when they enter," the broker said.

Panmure maintains its 'buy' rating and 3,800p target price.

[bobsidian] 09/2/2011 11:41

A pretty spectacular long term chart.

But the moment mention is made of slowing growth caution may be prudent.

However this share is such a core holding of pension funds with it being a consistent dividend payer that downside may be limited.

I tend to be confused when reported and adjusted diluted EPS figures are the metrics used to justify valuation. Quite a distinction to be drawn between 10% and 16% growth. The former suggests significant overvaluation, the latter suggests the share price move brings valuation back into line. Doubtless pension funds will more likely favour the latter to justify their holding.

[soho2] 09/2/2011 11:23

This is heading towards the £30...level!

[nellie1973] 02/2/2011 13:36

Broker upgrade today

[nellie1973] 18/1/2011 13:22

Broker upgrade

[batman9] 17/1/2011 20:24

This is partly due to expected reduced sales of Suboxone in US because of generic competion. RB. though have always performed better than their set targets.

YTD 2010 total net revenue for the Group's Subutex and Suboxone prescription
drug business grew +27% to £505m. These buprenorphine-based products are used
to treat opiate dependence. This strong growth was driven by a continued
increase in the number of patients treated with Suboxone in the U.S. and the
launch of the Suboxone sublingual film. The performance was further helped by
the full consolidation of a number of countries in Europe and Rest of the World
from 1st July 2010, as a result of the majority of sales and marketing rights
to the buprenorphine-containing products Suboxone, Subutex and Temgesic
reverting back to the Group.

For the nine months, the operating margin improved by +850bp to 68.7%.
Operating profit was £347m, an increase of +45%.

Q3 net revenue rose +33% to £195m. Operating profit increased +39% to £132m,
for a +480bp expansion in the margin to 67.7%.

Suboxone has data exclusivity in Europe until 2016; in the U.S., Suboxone lost
the exclusivity afforded by its Orphan Drug Status on 8th October 2009. Within
RBP, the U.S. Suboxone business generated YTD 2010 net revenue of £425m and
operating profit of £306m. As a result of the loss of exclusivity in the U.S.,
up to 80% of the revenues and profits of the Suboxone tablet business might be
lost in the year following the launch of generic competitors, with the
possibility of further erosion thereafter.

Further to an announcement on 19th March 2010, the majority of the sales and
marketing rights to the buprenoprhine-containing products Suboxone, Subutex and
Temgesic reverted to the Group, starting 1st July 2010. The rights apply to a
number of countries in Europe and Rest of the World, and the consideration for
the rights paid to Merck & Co., Inc. was approximately £100m. As a result,
these countries are now fully consolidated by the Group.

On 31st August 2010, the Group announced that it had received approval from the
U.S. Food and Drug Administration for its New Drug Application to manufacture
and market Suboxone sublingual film. Suboxone sublingual film has been
developed through an exclusive agreement with MonoSol Rx, utilising its
proprietary PharmFilm® technology, to deliver Suboxone in a fast-dissolving
sublingual film. In the event of generic competition to the Suboxone tablet,
the Group expects that the Suboxone film will help to mitigate the impact
thereof.

[3800] 15/1/2011 17:19

Hi all, Im just doing some research on RB. past normalized EPS growth for RB. 2004 +16.8%, 2005 +14.4%, 2006 25.6%, 2007 +5.31%, 2008 34.2%, 2009 +23.2%, 2010(e) +18.5%, 2011(e) -0.86% after such a exemplary track record what is so dire about the 2011 forecast? Have I missed something really massive or is the brilliant growth story at an end?

[volsung] 14/1/2011 13:24

In for a few. These seem to like bouncing from 3400

[edgar bruce] 12/1/2011 12:51

i meant longer term. no doubt there is plenty of value to be had out of SSL in the meantime

my point around colin is that they almost certainly broke the mould after him

[batman9] 11/1/2011 17:50

Colin Days departure was anounced on the 22 October 2010. 2 brokers in November still had targets of £43. At least 20% upside.

[edgar bruce] 10/1/2011 23:38

they do it appears, according to google

[edgar bruce] 10/1/2011 23:33

in my view mr day's departure could mark a change in fortune here

watching the SSL integration closely

does SSL have SAP, does anyone know?

[lobby ludd] 22/9/2010 00:59

They will take SSL's Durex and Scholl brands (80% of turnover) to another level; and the many minor brands....Remegel, Ralgex, Resolve, etc. will be re-invogorated by RB's marketing spend.

[harvester] 20/9/2010 10:01

"Down-run" started around 1150 in 2002; now 3477! Not holding any of these but long-term shareholders must have enjoyed this "down-run". Up 80 today on news of SSL acceptances.

[nellie1973] 26/7/2010 23:43

Broker upgrade target price 3800p

[pmgn] 22/7/2010 09:25

Three shares set to move sharply by top chartist Zak Mir



Reckitt Benckiser (RB.)

I suppose that the big question associated with the perfect fit deal between SSL (SSL) and Reckitt is why the latter waited until this year to pay 1,200p a share when it could have snapped up the Durex maker for half the price early last year? But of course when you have the money such fine details do not really matter. As far as the daily chart position of Reckitt is concerned there has just been an initial failure at a combination of the black 200 day moving average / April price channel top of 3,300p. Nevertheless, with the RSI now at a very buyable 56 it may be worth waiting for a weekly close above 3,300p to target an upside break and a return to April resistance above 3,600p.

[lobby ludd] 03/6/2010 11:57

Nine months after losing orphan status.... and still no generic has emerged to challenge 'Suboxone'. Reckitt can't believe their luck !

[lobby ludd] 23/3/2010 12:03

And thru £36....

[spoodle] 17/3/2010 00:14

Held RB since Reckitts days, my best long term (decades) hold.
After recent steady climb expect a retrace, then time to add imo.