Update shared on 28 Nov 2025
Fair value Increased 1.11%The analyst price target for GSK has been raised from 1,400 GBp to 1,500 GBp. This reflects a moderate increase in fair value estimates as analysts cite stable margins and steady revenue expectations.
Analyst Commentary
Analyst reaction to the updated GSK price target has been mixed, reflecting a range of perspectives on the company's valuation, growth opportunities, and business execution.
Bullish Takeaways- Bullish analysts are raising price targets for GSK, citing sustained profitability and a stable outlook for margins and revenues.
- Increased confidence in the company’s ability to maintain steady performance, even amid a dynamic pharmaceutical landscape, is contributing to upward revisions in fair value estimates.
- GSK’s inclusion among major drugmakers building U.S. manufacturing facilities is seen as a strategic move. This is viewed as providing potential insulation from geopolitical pressures and upcoming regulatory changes.
- Sector-wide developments, such as growing optimism around large-cap drugmakers and resilient earnings across the industry, are supporting a more constructive view on GSK’s outlook and valuation.
- Bearish analysts maintain a cautious stance despite the revised price target and describe GSK shares as underperforming relative to some industry peers.
- Concerns remain around competitive positioning and whether GSK can achieve above-average growth or margin expansion in the coming quarters.
- Execution risks linked to regulatory shifts and global market uncertainties have prompted more conservative ratings from some analysts. These analysts cite the need for clearer catalysts to justify further upside.
What's in the News
- GSK and Eli Lilly announced plans to invest over $350 billion in new U.S. manufacturing facilities and operations. The goal is to mitigate the threat of pharmaceutical tariffs (WSJ).
- The CDC updated its vaccine guidance. Recent NYT and WSJ reports highlight changes to language around autism and vaccines, directly mentioning GSK as a leading vaccine provider (NYT, WSJ).
- GSK CEO Emma Walmsley emphasized the company’s administrative-only involvement in the FDA’s update of leucovorin prescribing information. She clarified that GSK no longer has a commercial interest in the drug (STAT).
- AnaptysBio filed a lawsuit against GSK and its subsidiary Tesaro, alleging breach of a collaboration agreement and tortious interference related to oncology drug development (Key Developments).
- GSK secured FDA approval for Blenrep (belantamab mafodotin-blmf) in combination with other agents for relapsed or refractory multiple myeloma. This expands available treatments for patients (Key Developments).
Valuation Changes
- Fair Value Estimate has risen slightly from £18.07 to £18.27, reflecting a minor uptick in analysts’ projected company valuation.
- Discount Rate remains unchanged at 7.07%. This indicates analyst risk assumptions about GSK’s cash flows are stable.
- Revenue Growth Estimate has edged down marginally from 4.52% to 4.52%. This shows a negligible adjustment in expected top-line expansion.
- Net Profit Margin Estimate has increased minimally from 19.56% to 19.56%. This points to expectations of steady profitability.
- Future P/E Ratio has risen slightly from 11.94x to 12.06x. This signals a modest re-rating of GSK’s projected earnings multiple.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.