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Currently trading at £51.27, the shares price is up 4.1% since it announced its first-quarter results in April. The company posted better-than-expected revenue and operating profits of £10.04 billion and £1.96 billion respectively for the first three months of the year, both exceeding estimates.
Reckitt Benckiser’s pharmaceutical division has enjoyed success with its drug Suboxone, a substitute for heroin, but the firm has lost exclusivity to the drug and the generic brands have been on the market for the past year. The company’s pharmaceutical unit is in decline and is considering selling the operation which is worth approximately £1 billion. Reckitt Benckiser is looking to focus on 19 ‘power brands’.
The shares price is receiving support from the 100-day moving average of £49.78. If results are good and the stock takes out the record high of £52.82, it could continue on to £55.