Experts market conclusion: West Pharmaceutical Services, Inc. (NYSE: WST)

On 16 March 2020, West Pharmaceutical Services, Inc. stock identified change of 26.61% away from 52-week low price and recently located move of -26.15% off 52-week high price. It has market worth of $9975.74M and dividend yield of 0.49%. WST stock has been recorded -17.05% away from 50 day moving average and -8.89% away from 200 day moving average. Moving closer, we can see that shares have been trading -17.17% off 20-day moving average.

West Pharmaceutical Services, Inc. (NYSE: WST) recently reported its financial results for the fourth-quarter and full-year 2019 and introduced full-year 2020 financial guidance.

Fourth-Quarter and Full-Year 2019 Summary (comparisons to prior-year period)

Fourth-quarter 2019 net sales of $470.6M grew 11.4%; organic sales growth was 12.7%; sales from a recent acquisition contributed an additional 30 basis points of growth; currency translation reduced sales by 160 basis points.

Full-year 2019 net sales of $1.840B grew 7.1%; organic sales growth was 10.0%; sales from a recent acquisition contributed an additional 10 basis points of growth; currency translation reduced sales by 300 basis points.

Fourth-quarter 2019 stated-diluted EPS of $0.84 increased 22%. Full-year 2019 stated-diluted EPS of $3.21 increased 17%.

Fourth-quarter 2019 adjusted-diluted EPS of $0.82 increased 12%. Full-year 2019 adjusted-diluted EPS of $3.24 increased 15%.

Company is introducing full-year 2020 financial guidance of net sales in a range of $1.95B to $1.97B and stated-diluted EPS in a range of $3.45 to $3.55.

Proprietary Products Section
In the fourth-quarter 2019, net sales grew 13.3% to $352.7M.  Organic sales growth was 14.7%, with incremental sales from a recent acquisition contributing 40 basis points of Proprietary Products growth and currency translation decreasing sales by 180 basis points.  HVPs represented over 60% of section sales and generated double-digit organic sales growth.

In the fourth-quarter 2019, the Biologics market unit had strong double-digit organic sales growth, led by consumer purchases of Daikyo, Westar and Flurotec^® components.  The Generics market unit posted double-digit organic sales growth, led by sales of Westar components and self-injection delivery platforms.  The Pharma market unit had double-digit organic sales growth, led by HVPs and a favorable year-over-year comparison Because of the fourth-quarter 2018 financial impact from the before stated voluntary recall of the Vial2Bag^® product.

In the full-year 2019, net sales grew 6.9% to $1.399B.  Organic sales growth was 9.9% with incremental sales from a 2019 acquisition contributing 30 basis points of growth and currency translation decreasing sales by 330 basis points.  HVPs represented over 60% of section sales and generated double-digit organic sales growth.

Contract-Manufactured Products Section
In the fourth-quarter 2019, net sales grew 5.9% to $117.9M.  Organic sales growth was 7.2% with currency translation decreasing sales by 130 basis points.  Section performance was led by sales of healthcare-related injection and diagnostic devices.

For the full-year 2019, net sales grew 7.9% to $441.5M.  Organic sales growth was 10.2% with currency translation decreasing sales by 230 basis points.

Full-Year 2019 Financial Highlights
Operating cash flow was $367.2M, a raise of 27%.  Capital expenditures were $126.4M, contrast to $104.7M over the same period last year, and represented 6.9% of full-year 2019 net sales.  Free cash flow (operating cash flow minus capital expenditures) was $240.8M, a raise of over 30%.

The Company recorded $4.9M of restructuring and related charges in 2019 from before reported actions that have streamlined its manufacturing network.  This restructuring plan is now considered complete.  Implemented in first-quarter 2018, cumulative expenses over the plan period were about $14.0M.  The Company anticipates that the plan will provide annualized savings of about $14.0M.

The Healthcare sector company, West Pharmaceutical Services, Inc. noticed change of -10.70% to $130.47 along volume of 930972 shares in recent session compared to an average volume of 450.33K. WST’s shares are at -10.89% for the quarter and driving a 23.42% return over the course of the past year and is now at -13.21% since this point in 2018.