Stephen Simpson, CFA
Long only, growth at reasonable price, value, research analyst

High-Quality Glaxo Could Still Have Something Left

Back in the summer of 2012, I thought investors would do well to give GlaxoSmithKline (NYSE:GSK) a pass, as the investment community was down on the company's near-term earnings momentum and worried about pricing developments in Europe. As it happens, Glaxo was one of the weakest Big Pharma stocks since then.

That was then, and this is now. Although revenue is likely to remain pressured next year and a billion-pound cost-cutting program is a long-term contributor at best, Glaxo could be getting more interesting. The company should have multiple high-potential product launches this year and data on multiple high-risk/high-reward Phase programs. Pricing pressure and threats to COPD franchise are both risks (as is Wall Street disinterest with sluggish...

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