The Pfizer jab could provide a shot in the arm for Croda (LON:CRDA), the speciality chemicals group that provides lipid nano-particles used in the vaccine.
That at least was the conclusion of analysts at HBSC, who cited this as one of the reasons behind a fairly chunky price target hike.
Moving its stock recommendation up to ‘buy’ from ‘hold’, the bank told recipients of its latest note the shares are worth £86 each. That compares with an original valuation of £61 and the current price of £76.14.
The 17-page circular said: “We detect that Croda is changing. The major vaccine success is a clear and growing boost to life sciences, while the successful integration of fragrances, a strategic review of performance technologies and recovery in consumer markets - combined with its ESG [environmental, social and governance] credentials defined by ongoing sustainability - suggest an accelerating internal momentum.
“This should help revenue growth, margins and cash flows.”