Morgan Stanley Lowers Baxter Intl Price Target to $27.00 from $28.00, Maintains Underweight Rating.

Morgan Stanley lowered Baxter Intl's (BAX) price target to $27.00 from $28.00, a 3.57% decrease. The analyst maintained an "Underweight" rating, advising caution on investing in BAX. The average target price for BAX is $37.18, implying a 30.31% upside from the current price of $28.53. The estimated GF Value is $41.61, suggesting a 45.85% upside.

Title: Morgan Stanley Lowers Baxter Intl's Price Target and Maintains Underweight Rating

Morgan Stanley has revised its price target for Baxter International Inc (BAX) to $27.00, a 3.57% decrease from the previous target of $28.00. The analyst maintained an "Underweight" rating, advising caution on investing in BAX. The average target price for BAX is $37.18, implying a 30.31% upside from the current price of $28.53. The estimated GF Value is $41.61, suggesting a 45.85% upside.

The change in price target reflects Morgan Stanley's concerns about the company's performance and market conditions. Over the past few months, a diverse set of analysts have evaluated BAX, offering a range of opinions from bullish to bearish. The average price target of $32.4, with a high estimate of $42.00 and a low estimate of $27.00, indicates a 5.81% decrease from the previous average of $34.40 [1].

Baxter Intl operates in the medical supplies and equipment sector, providing a variety of products such as injectable therapies, nutritional products, and surgical sealants. The company's market capitalization has fallen below industry benchmarks, reflecting reduced size compared to peers. However, Baxter Intl has shown positive revenue growth of approximately 5.42% over the last three months, although it lags behind industry peers [1].

The company's net margin is below industry standards, pointing to challenges in achieving strong profitability. Despite this, Baxter Intl's Return on Equity (ROE) exceeds industry averages, indicating efficient use of equity capital and strong financial health. However, the company faces challenges in debt management with a debt-to-equity ratio higher than the industry average [1].

Morgan Stanley's downgrade is part of a broader trend of analysts adjusting their ratings and price targets in response to dynamic market conditions and company performance. Analysts typically base their conclusions on predicting future earnings and revenue streams, attending company meetings, and researching financial statements [2].

Investors should consider these analyst evaluations alongside crucial financial indicators when making investment decisions. Keeping track of analyst ratings and success scores can provide valuable insights into the company's performance and potential risks [2].

References
[1] https://www.benzinga.com/insights/analyst-ratings/25/07/46417553/assessing-baxter-intl-insights-from-5-financial-analysts
[2] https://www.investing.com/news/analyst-ratings/morgan-stanley-downgrades-ameriprise-financial-stock-rating-to-underweight-93CH-4134903