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Craig-Hallum calls Indivior 'overlooked and undervalued', starts stock with buy

EditorIsmeta Mujdragic
Published 04/03/2024, 09:41 AM
INDV
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On Wednesday, Indivior PLC (NASDAQ: INDV), a specialty pharmaceutical company, received a new Buy rating from Craig-Hallum. The firm set a price target of $37.00 for the company's stock, highlighting Indivior's unique position as a pure play investment in the battle against the opioid crisis.

The analyst at Craig-Hallum pointed to Indivior's innovative approach and significant growth prospects, particularly from its products Sublocade and Opvee. These products are central to the company's strategy in combating opioid addiction. Indivior's sales are projected to double, reaching $2.2 billion by 2029, up from $1.1 billion in 2023.

Indivior's growth is expected to come without any contribution from its pipeline, according to the firm's analysis. The company's past legal challenges are considered to be resolved, and with a primary listing in the United States on the horizon, the analyst believes Indivior is currently undervalued and overlooked in the market.

The company's focus on opioid addiction treatments places it at the forefront of a persistent and growing health issue. With the opioid epidemic continuing to affect millions, Indivior's role in providing medication-assisted treatments is becoming increasingly important.

The optimistic outlook for Indivior's financial growth and market reevaluation comes as the company moves beyond its previous legal entanglements. The new price target represents a significant potential upside from the company's current trading levels.

InvestingPro Insights

Indivior PLC (NASDAQ: INDV) is capturing attention with its commitment to addressing the opioid crisis through its innovative treatments. Real-time data from InvestingPro underscores the company’s financial health and growth trajectory. Indivior boasts a robust gross profit margin of 82.98% for the last twelve months as of Q4 2023, indicating efficient cost management relative to its revenue of $1.093 billion. This is complemented by a revenue growth of 21.31% during the same period, which aligns with the optimism expressed by analysts regarding the company's growth prospects.

InvestingPro Tips suggest that Indivior is expected to see its net income grow this year, which could further solidify its financial standing. Additionally, the company has been profitable over the last twelve months and has demonstrated a strong return over the last three months, with a price total return of 36.48%. These indicators may provide investors with confidence in Indivior's market resilience and its potential for long-term growth, especially considering that it operates with a moderate level of debt.

For investors looking to delve deeper into Indivior's potential, InvestingPro offers additional tips and metrics that could be crucial for making informed decisions. There are 8 more InvestingPro Tips available, which can be accessed through InvestingPro's platform. Readers of this article can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking a wealth of data and insights that could be pivotal in evaluating Indivior's investment potential.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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