Grifols: Reassuring Evidence, Still On The Sidelines

Mare Evidence Lab
5.8K Followers

Summary

  • Following a solid Q1 and CMD update, we revise revenue forecasts upward, encouraged by lower-than-expected IgG competition and improved margin visibility.
  • Grifols is raising the bar, guiding toward €10 billion in sales and €2.9 billion in EBITDA.
  • Despite Moody’s credit rating upgrade, leverage remains elevated at 4.5x, and we await more consistent FCF delivery before considering a more constructive view.

global healthcare company Grifols, develops plasma-derived medicines and innovative biopharmaceutical solutions, Biopharmaceutical technologies and drugs, Frankfurt, Germany - February 13, 2024

Victor Golmer/iStock Editorial via Getty Images

We return to Grifols (NASDAQ:GRFS) with a fresh review, following our previously neutral stance, which reflected a balance of encouraging progress and lingering concerns. As a reminder, we reported many question

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