UBS raises Viatris (VTRS) price target as cost savings and growth outlook improve


Viatris Inc. (NASDAQ:VTRS) is among them March 13 Best Dividend Stocks to Buy.

UBS raises Viatris (VTRS) price target as cost savings and growth outlook improve
UBS raises Viatris (VTRS) price target as cost savings and growth outlook improve

On February 27, UBS announced that Viatris Inc. (NASDAQ:VTRS) raised its price target from $18 to $20. It maintained a buy rating on the stock. The company noted that Viatris met its Q4 cost-savings targets and issued FY26 guidance that came in above consensus expectations. Still, shares fell 5%, after strong gains earlier in the year. Analysts told investors that the upcoming investor event on March 19 could be important. This may lead to mid-single digit revenue growth. UBS also said that ongoing cost reductions could support junior-level EPS compounded annual growth rates, which may help expand the mean multiple over time.

The company also reported its Q4 2025 results. CEO Scott Smith said 2025 was a strong year for Viatrix. He said the company had delivered strong financial performance and had positioned itself to enter a phase of sustained long-term growth in 2026. Smith reported total revenue of $14.3 billion and adjusted EBITDA of $4.2 billion, indicating the overall strength of the business.

He also mentioned the developments in the company’s pipeline. Five Phase III studies have provided positive results, which he described as a milestone. Enrollment in key programs, including Senrimod and Celatogrel, is progressing and expected to be completed in 2026, he added. Smith said Viatris returned more than $1 billion to shareholders through dividends and share buybacks during the year. He also mentioned the completion of 60 regional deals. This included the acquisition of Ecolis Pharma in Japan, which he described as part of the company’s broader strategic plan.

Smith said the company expects gross cost savings of about $650 million over three years. He added that up to $250 million of these savings will be invested in growth initiatives. He also said the company had prepared for a possible FDA review of its Indore facility. Steps have been taken for operational redundancies in order to maintain continuity and stability.

Viatris Inc. (NASDAQ:VTRS) operates as a global healthcare company. Its business spans developed markets, Greater China, JANZ, and emerging markets. The Developed Markets segment includes its primary operations in North America and Europe.

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