West Pharmaceutical: A Growing Company, But Pass On Its Declining Margin Outlook

InvestOhTrader
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Summary

  • WST surprisingly ended FY’22 with positive (YoY) growth.
  • Thanks to its innovative product portfolio and capacity expansion catalyst, the management expects continued growth in its top line in FY’23.
  • However, this growth is not that reassuring, especially considering its declining margin catalyst.
  • WST has a forward dividend yield of 0.24% and a forward P/E of 41.93x, which makes the stock unattractive.

Vials with Medication

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West Pharmaceutical Services (NYSE:WST) is a leading company that specializes in designing and manufacturing drug delivery and packaging systems worldwide. With over 100 years of existence in the market, WST continues to provide innovative solutions and execute their

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Hi there! I am an equity research analyst by profession but a trader by heart, with a background in accounting. I try my best to be a responsible investor, guided by my expertise in fundamental and technical analysis. I enjoy surfing and riding the trends about equity, currencies and cryptocurrency. With a little over 5 years of experience in the market, I enjoy keeping my mind open to fresh ideas from different investment viewpoints since it allows me to expand my knowledge in this wild, but always energizing investing industry. PS. I apologize if I am unable to respond to your feedback immediately. However, when I have free time, I read through it all and enjoy reading both positive and negative feedback. Thank you!

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