Novartis "buy"

17.07.07 - Dresdner Kleinwort Wasser.

LONDON, July 17 (newratings.com) - Analyst Benjamin Yeoh of Dresdner Kleinwort maintains his "buy" rating on Novartis AG (NOT). The target price is set to CHF78.

In a research note published this morning, the analyst mentions that the company has posted its Q2 sales and earnings results in-line with the expectations. Novartis has reduced its group net sales growth guidance from the high single-digit range to the mid single-digit range and pharma sales to the low single-digit range. Although the downgrade is in-line with the expectations, it is negative for the sentiment towards the company?s stock, the analyst adds.