Goldman Sachs Maintains Buy Rating On Hospira

In a report published by Goldman Sachs, Hospira HSP has a new CEO in place, with fundamental catalysts up next.

Goldman Sachs said that, in addition to the company's appointment of Michael Ball (currently President of Allergan) to the CEO role, it sees two upcoming fundamental catalysts for HSP. “(1) Approval of generic Taxotere and (2) unveiling of a capital deployment priorities (we provide a scenario analysis regarding potential strategies in this report). We view Mr. Ball's appointment favorably, as he was responsible for driving Allergan's accelerating international growth over the past several years and achieving No. 1 or No. 2 market share positions in most therapeutic categories. We see non- US growth as becoming a greater priority for Hospira, as OUS regions represent 30% of revenue (vs. peers around 50%). Mr. Ball's expertise in specialty pharma complement Hospira's generic injectable and emerging biosimilar businesses, which are the key drivers of long-term growth.”

Hospira closed yesterday at $53.32.