Why top brokers say surge in CSL share price will continue

The CSL Limited (ASX: CSL) share price has been on a roll lately, soaring more than 13.6% since its January low.

Right now, shares in the biotechnology giant are swapping hands for $312.35.

And it could be set to continue climbing, according to top brokers.

Here’s why experts have high hopes for the S&P/ASX 200 Index (ASX: XJO) healthcare staple.

CSL share price could continue to soar: top brokers

ASX 200 fans will know CSL well. The company is involved with the development of medicines, influenza vaccines, and recently acquired iron deficiency-focused Vifor.

It also operates a major plasma collection business. And that side of the company appears to be bolstering hope among top experts.

Morgan Stanley is one such optimistic broker. It has an overweight rating on CSL shares, slapping them with a $354 price target, my Fool colleague James reports. That represents a potential 12.9% upside.

Citi has also given the stock a buy rating and a $313.81 price target, The Australian reports.

Both brokers appear to have followed similar paths to reach their optimistic outlooks. That’s based on expectations the CSL’s Behring business (offering plasma-derived and recombinant therapies) could be set to grow.

Citi reportedly points out an increase in plasma collection centres in the United States, implying demand for immunoglobulin and albumin is growing.

Both brokers note that a recent earnings release from industry peer Takeda Pharmaceutical Co Ltd (NYSE: TAK) also suggests rising demand.

Meanwhile, Morgans and Bell Potter are also said to be hopeful on the stock. Though, the CSL share price has already surpassed Morgan’s $312.20 price target.

Bell Potter expects plasma volumes to grow by around 8% globally each year for the foreseeable future.

However, not all experts are so confident. Goldman Sachs is neutral on CSL and tips its share price to slump 3.6% to $302 over the coming 12 months.

The post Why top brokers say surge in CSL share price will continue appeared first on The Motley Fool Australia.

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Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CSL and Goldman Sachs Group. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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