Jefferies Raises Imperial Brands Target to GBX 3,700, Signals Confidence

Equities research analysts at Jefferies Financial Group have raised their price objective for Imperial Brands from GBX 3,600 to GBX 3,700, indicating a potential upside of 12.91% based on the company’s previous closing price. This adjustment, announced in a report issued on Wednesday, comes as part of a broader positive sentiment towards the company’s stock, which currently holds a “buy” rating from Jefferies.

Several analysts have recently expressed similar confidence in Imperial Brands. On November 19, Panmure Gordon reaffirmed its “buy” rating and set a price target of GBX 4,200. Meanwhile, JPMorgan Chase & Co. maintained an “overweight” rating in a report from October 3, and Royal Bank of Canada increased its target from GBX 2,400 to GBX 2,700, assigning a “sector perform” rating on November 20. Additionally, Citigroup raised its target from GBX 3,425 to GBX 3,650, also giving the stock a “buy” rating.

According to data from MarketBeat, four research analysts have rated Imperial Brands with a “buy” rating, while one has assigned a “hold” rating. The stock has an average rating of “Moderate Buy” and an average price target of GBX 3,562.50.

Recent Financial Performance and Insider Activity

Imperial Brands recently reported its quarterly earnings on November 18, posting earnings per share (EPS) of GBX 315. The company boasted a net margin of 11.44% and a return on equity of 41.84%. Analysts forecast an EPS of approximately 246.57 for the current fiscal year, reflecting ongoing confidence in the company’s financial health.

In a notable insider transaction, Alan Johnson, a company insider, purchased 600 shares at an average price of GBX 3,066 per share on September 18. This transaction totaled £18,396, and insiders currently own 0.43% of the company’s stock.

Overall, the recent analysis and insider activity suggest a robust outlook for Imperial Brands, with various financial institutions signaling sustained confidence in its market performance. As the company continues to adapt to changing market conditions, investor interest remains high, supported by positive analyst ratings and strategic stock acquisitions.