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Pharma Stock Flies on Q3 Report, Analyst Praise

No fewer than nine analysts raised their price targets

Deputy Editor
Nov 3, 2020 at 10:25 AM
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The shares of Jazz Pharmaceuticals PLC (NASDAQ:JAZZ) are up 5.9% at $156 at last check, after a third-quarter earnings and revenue beat. To follow, no fewer than nine analysts raised their price targets, with the highest coming from SVB Leerink to $202 from $194. 

On the charts, today's gap higher has JAZZ closing in on its Oct.12 annual high of $156.26. Breaking above recent pressure at the 10-day moving average, the equity has just surpassed its year-to-date breakeven, a 1.4% discount to yesterday's close. 

The brokerage bunch is overwhelmingly bullish, with 13 of the 14 analysts in coverage at a "buy" or better rating, and the outlier at a tepid "hold." Meanwhile, the 12-month consensus price target of $180.06 is a 19.9% premium to current levels. 

Also worth noting, though short interest has started to fall off, the 4.17 million shares sold short still account for 7.8% of the stock's available float, and would take nearly six days to cover at JAZZ's average pace of trading. As these bearish bets continue to unwind, it could provide a tailwind for the security. 

 

 
 

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