Goldman Sachs Downgrades Parexel (PRXL) to Sell, Upgrades Charles River (CRL) to Neutral

Goldman Sachs made some ratings changes in the Pharmaceutical Services sector today, cautioning that third results could come with further weakness in bookings and more cancellations.

The firm:

• Downgraded Parexel International Corp. (Nasdaq: PRXL) from Neutral to Sell, citing risk to sector-high consensus growth outlook ($12 tgt).
  
• Upgraded Charles River Laboratories (NYSE: CRL) from Sell to Neutral, citing more reasonable expectations following management's reduced growth outlook. (tgt to $36 from $26)
  
• Maintain Sell on PPD (Nasdaq: PPDI) citing potential for a weak book-to-bill this quarter against premium group valuation and a sector-low growth outlook. ($18 tgt)
  
• Maintains Buy on ICON (Nasdaq: ICLR) on consistent book-to-bill and still reasonable valuation (tgt to $26 to $25)
  
• Maintain Neutral Covance (NYSE: CVD) (tgt to $55 from $46) and Kendle (Nasdaq: KNDL) (tgt to $15 from $11)

You May Also Be Interested In

• UPDATE: Auriga Upgrades Lifepoint Holdings (LPNT) to Buy; Use Recent Pullback As Opportunity
• Nomura Securities Sees Trends Continuing To Be Difficult at Wet Seal, Inc. (WTSLA); Cutting FY12/13 Estimates
• Canaccord Genuity Reiterates a 'Buy' on Analog Devices (ADI); Delivering Upside

Create E-mail Alert Related Categories

Downgrades, Upgrades

Add Your Comment

Name

Subject

Body

Verification can't see the text?
click here to refresh the image.
what's this?

Follow StreetInsider.com On Twitter