A look at Sanofi
Headquartered in Paris, Sanofi’s (SNY) business consists of the following five global business units:
- Sanofi Genzyme: specialty care, including rare diseases and oncology
- Diabetes and Cardiovascular
- General Medicines and Emerging Markets: includes pharmaceutical sales for emerging markets
- Consumer Healthcare
- Sanofi Pasteur: human vaccines
The company reports its financial results in euros.
Stock price performance
Sanofi stock has risen ~4.2% in 2Q17 and 16.8% year-to-date as of July 7, 2017.
Wall Street analysts estimate that Sanofi stock has the potential to rise ~9.6% over the next 12 months. Analyst recommendations show a 12-month target price of $51.75 per share compared to the last price of $47.22 on July 6, 2017.
There are 27 analysts tracking Sanofi stock. Of those, 11 analysts are recommending a “buy,” 14 are recommending a “hold,” and two are recommending a “sell.” The consensus rating for Sanofi stands at 2.5, which represents a “buy” for value investors.
Analysts’ revenue estimates
Sanofi’s revenues are mainly driven by the strong performance of Sanofi Genzyme, Consumer Healthcare, and Sanofi Pasteur.
Wall Street analyst estimates show revenues of 8.8 billion euros in 2Q17, an ~8.4% rise compared to 2Q16, and EPS (earnings per share) of 1.31 euros for 2Q17.
To avoid the company-specific risks, you can consider the Vanguard FTSE Developed Markets ETF (VEA), which holds 0.80% of its total assets in Sanofi. VEA also holds 1.6% in Novartis (NVS), 0.80% in GlaxoSmithKline (GSK), and 0.70% in Novo Nordisk (NVO).