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GSK financials should look good but clinic is the focus

Published 27/01/2023, 12:28
Updated 27/01/2023, 12:42
© Reuters. GSK financials should look good but clinic is the focus

Proactive Investors - GSK has done well enough since the Haleon consumer products arm was spun out last year, though after a decent run-up to the end of 2022, shares have gone a bit flat since.

Fourth quarter and final results next week are expected to show decent underlying profits growth with Shingles vaccine Shingrix expected to continue its recovery from the disruption caused by Covid.

In November, GSK reiterated its full-year guidance of constant currency growth in sales of between 8-10% in 2022 and in adjusted operating profit of 15-17% plus a dividend of 61.25p.

Clinical results have been more mixed with Myeloma treatment Blenrep dropped after disappointing trial results and its keenly anticipated RSV vaccine facing a new rival as Moderna (NASDAQ:MRNA) pushes ahead with an alternative.

For something a bit leftfield, analysts have suggested recently that Haleon is doing well enough on its own for its former owners to think about offloading more of their residual stakes.

Glaxo still owns 13.5% and Pfizer (NYSE:PFE) 32% and clearing some of that overhang would them a lift as well as Haleon according to Credit Suisse (SIX:CSGN).

Read more on Proactive Investors UK

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