Galenica is a well-managed and resilient company that has an unassailable dominance of the Swiss pharma distribution and related services. Over the years the company has earned a quality compounder reputation (+12% annualised TRS since IPO) which is reflected in its 20% average premium vs the SMI. Going forward we expect the company to keep a robust TRS profile of 8-9% p.a. (ex M&A). We initiate our coverage with a Neutral rating as its current premium (30%) and the limited upside to our target...
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