GSK full-year results: where next for the share price?

GlaxoSmithKline will unveil its full-year results on Wednesday, with investors eager to see if the drug maker will hit its targets after upgrading its full-year guidance in October.

GlaxoSmithKline (GSK) will unveil its full-year 2019 results on Wednesday, with investors hoping the drug maker will hit its targets after upgrading its guidance in October.

GSK expects full-year earnings per share to be flat year-on-year, up from the 3% - 5% decline that the group previously forecast.

Over the last nine months of trading, the pharmaceutical company has recorded strong sales, with it reporting revenues of £4.5 billon in Q3, up 3% year-on-year.

Sales were driven primarily from vaccines, up 15% to £2.3 billion in Q3, with its consumer healthcare unit also reporting strong growth, with revenues rising 3% to £2.5 billion over the period.

Ready to start hedging? Open an account with IG today to get started.

Major brokerages all upgrade GSK shares in January

Analysts from major investment banks have all upgraded their price targets for GSK in January ahead of its full-year results, with Société Générale the most optimistic at £23.

Credit Suisse upped its price target to £18.60, with JP Morgan, Liberum Capital and UBS at £19, £19.30 and £19.50 respectively.

Based on GSK trading at £18.05 as of 16:25 (GMT) on Monday, analysts believe the stock has a potential upside of anywhere between 3% - 27%.

Do you own GSK shares? You can hedge your downside risk with IG by trading CFDs.

GSK joins effort by big pharma to develop Coronavirus vaccine

On Monday, GSK announced that it will join forces with other major pharmaceutical companies around the world to develop vaccines for the new Chinese coronavirus.

The joint effort will see GSK make its established pandemic vaccine adjuvant platform technology available to enhance the development of an effective vaccine against the virus.

An adjuvant is added to some vaccines to enhance the immune response, thereby creating a stronger and longer lasting immunity against infections than the vaccine alone.

The use of an adjuvant is crucial in a pandemic situation since it can reduce the amount of antigen required per dose, allowing more vaccine doses to be produced and made available to more people.

‘Our adjuvant technology has previously been used successfully in the pandemic flu setting,’ GSK chief medical officer Tomas Breuer said.

‘It enables using only small quantities of the vaccine antigen which allows the production of more doses of the vaccine – a crucial advantage in a pandemic.’

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

Please see important Research Disclaimer.

Seize a share opportunity today

Go long or short on thousands of international stocks.

  • Increase your market exposure with leverage
  • Get spreads from just 0.1% on major global shares
  • Trade CFDs straight into order books with direct market access

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
liveprices.javascriptrequired
liveprices.javascriptrequired

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

liveprices.javascriptrequired

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.