Estimates and Recommendations for Allergan in August

Analysts’ estimates

Analysts expect Allergan’s (AGN) adjusted EPS to be $16.29 on revenue of $15.53 billion in 2018, a 2.6% fall in revenue compared to $15.94 billion in 2017.

Analysts expect the company’s adjusted net income to fall in 2018 mainly due to a fall in its gross profit margin and partially offset by a decrease in its selling, general, and administrative expenses as well as its research and development expenses.

Estimates and Recommendations for Allergan in August

The chart above shows analysts’ recommendations for Allergan over the last 12 months.

Stock price performance

Allergan’s stock price has fallen nearly 20.2% over the last 12 months, but it’s risen ~12.8% year-to-date in 2018. Analysts’ estimates show that the stock has the potential to return ~13.0% over the next 12 months. Their recommendations show a 12-month target price of $208.45 per share compared to its price of $184.48 per share on August 15.

Analysts’ recommendations

As of August 16, 24 analysts are tracking Allergan stock. Of these 24 analysts, four have recommended “strong buys,” 13 have recommended “buys,” and seven have recommended “holds.” The consensus rating for Allergan stands at 2.13, which represents a “strong buy” for momentum and long-term investors.

Changes in analysts’ estimates and recommendations are based on the changing trends in a stock’s price and a company’s performance.

The iShares US Healthcare ETF (IYH) holds 1.7% of its total investments in Allergan, 1.7% in Celgene (CELG), 1.9% in Biogen (BIIB), and 2.6% in Bristol-Myers Squibb (BMY).