In a report released on April 25, Michael Ryskin from Bank of America Securities reiterated a Buy rating on Avantor (AVTR – Research Report), with a price target of $16.00.
Michael Ryskin has given his Buy rating due to a combination of factors, despite Avantor’s recent challenges. The company’s first-quarter performance was weaker than expected, with a decline in organic sales and a reduction in the FY25 guidance. However, Ryskin believes that the market’s reaction, which saw a significant drop in Avantor’s stock price, is overly pessimistic.
Ryskin acknowledges the risks associated with tariff exposure and the company’s current outlook but sees these as manageable. He highlights the potential for a positive shift in the company’s narrative with the upcoming CEO transition, which could renew investor interest. Additionally, the current valuation of Avantor’s stock is seen as attractive, supporting the Buy rating with a price objective of $16, suggesting potential upside from the current trading levels.
In another report released on April 25, Barclays also maintained a Buy rating on the stock with a $15.00 price target.
Based on the recent corporate insider activity of 40 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of AVTR in relation to earlier this year.