Citi Boosts GSK Price Target to £18 After 10% Rally but Maintains Neutral
Citi raised its GlaxoSmithKline target price to £18.00 from £16.50 while retaining a Neutral rating on February 9 after shares climbed roughly 10% over the past month. The brokerage noted limited further upside given the recent rally and current valuation levels.
1. Target Price Revision
On February 9, Citi analysts lifted their 12-month price target for GlaxoSmithKline to £18.00 from £16.50, reflecting updated revenue projections for the year. Despite the increase, the team maintained a Neutral rating, citing the stock’s alignment with fair value after recent gains.
2. Recent Share Performance
GSK shares have risen approximately 10% over the past month, driven by stronger-than-expected vaccine unit results and positive trial data in respiratory treatments. Citi highlighted that much of this upside is already reflected in the current share price.
3. Analyst Commentary and Outlook
Citi noted that while pipeline progress and cost efficiencies support longer-term growth, limited near-term catalysts constrain further upside. The analysts will revisit their view upon material updates from late-stage drug trials or notable shifts in dividend policy.