Baxter initiated with a Neutral at Goldman Sachs

Goldman Sachs initiated coverage of Baxter with a Neutral rating and $36 price target. The analyst has confidence the company’s operating performance should improve over the next several quarters, as organic growth accelerates in the second half of 2024 and operating margins show progressive year-over-year increases. However, Goldman’s constructive view on underlying operating fundamentals is balanced against Baxter’s high leverage ratio that limits financial flexibility, the analyst tells investors in a research note.