Beyond The Numbers: 6 Analysts Discuss Catalent Stock

In the preceding three months, 6 analysts have released ratings for Catalent CTLT, presenting a wide array of perspectives from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Catalent and provided 12-month price targets. The average target is $60.75, accompanied by a high estimate of $63.50 and a low estimate of $47.00. This upward trend is evident, with the current average reflecting a 13.19% increase from the previous average price target of $53.67.

Breaking Down Analyst Ratings: A Detailed Examination

The standing of Catalent among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Catalent. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Catalent compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

To gain a panoramic view of Catalent's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Catalent analyst ratings.

Get to Know Catalent Better

Catalent is a contract development and manufacturing organization, or CDMO. It operates under four segments: biologics, softgel and oral technologies, oral and specialty delivery, and clinical supply services. Catalent derives its revenues primarily from long-term supply agreements with pharmaceutical customers. The company provides a range of development and manufacturing solutions for drugs, protein-based biologics, cell and gene therapies, and consumer health products throughout the entire life cycle of a product from the drug development process to commercial supply. Catalent has over 50 facilities across four continents.

Financial Insights: Catalent

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Challenges: Catalent's revenue growth over 3 months faced difficulties. As of 31 December, 2023, the company experienced a decline of approximately -10.88%. This indicates a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Catalent's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -20.12%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Catalent's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -5.47%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Catalent's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -2.06%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Catalent's debt-to-equity ratio surpasses industry norms, standing at 1.36. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Analyst Ratings: Simplified

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

This article was generated by Benzinga's automated content engine and reviewed by an editor.