bioMérieux shares fell 2% to 72.8 EUR in mid-session trading in Paris, following a rating downgrade by UBS. The Swiss bank, which previously held a 'buy' rating on the in vitro diagnostics specialist, has moved to 'neutral', while slashing its price target from 138 EUR to 80 EUR.
While acknowledging that 'medium-term growth drivers remain attractive', UBS explained in its research note that lower-than-expected short-term visibility has led it to adopt a 'neutral' stance 'until further evidence of execution' is provided.
bioMérieux designs, develops, produces, and sells systems used in clinical practice to diagnose infectious diseases (including HIV, tuberculosis, and respiratory infections), cancers, and cardiovascular pathologies based on a biological sample (blood, saliva, urine, etc.). Net sales break down by sector of application as follows:
- medical applications (84.3%): in industry, microbiological testing of samples from finished products, materials during the manufacturing process, or the environment, primarily in the food-processing, pharmaceutical, and cosmetics sectors;
- industrial applications (15.7%).
The group's diagnostic systems consist of three elements with related services: reagents, instruments (or platforms or analyzers), software, and services.
Net sales are distributed geographically as follows: Europe/Middle East /Africa (32.3%), North America (45.4%), Asia/Pacific (15.6%), and Latin America (6.7%).
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