Novartis "buy," target price reduced

26.02.07 - Dresdner Kleinwort Wasser.

LONDON, February 26 (newratings.com) - Analysts at Dresdner Kleinwort maintain their "buy" rating on Novartis AG (NOT). The target price has been reduced from CHF85 to CHF82.

In a research note published this morning, the analysts mention that Galvus sales are likely to be delayed by about two years due to the extra clinical trial in patients with impaired kidneys requested by the FDA. The Galvus sales estimate for 2011 has been reduced from $2.7 billion to approximately $1 billion. The FDA decision on Tekturna in March is likely to act as a catalyst for Novartis? share price, the analysts say.