BofA Securities Upgrades Alcon Inc. (ALC) to Buy

BofA Securities analyst Julien Ouaddour upgraded Alcon Inc. (NYSE: ALC) from Neutral to Buy, PT $108.00.

The analyst comments "We believe Alcon is on the cusp of an earnings upgrade cycle driven by product launches. In our view, investors were expecting too much, too soon from the product pipeline until management rebased expectations at the end of 2024 and more recently with the FY25 guidance. We upgrade to Buy and argue that earnings momentum should accelerate over 2025, resulting in a promising exit rate for FY26 (BofAe 4Q25 +9%cc sales & +2.5ppts margin Y/Y), Meanwhile, valuation doesn’t look too demanding, with the shares trading below their long-term average. Several catalysts lie ahead, starting with the CMD this week and product launches across the year. We increase our FY26E EPS by +2% on an encouraging exit rate, and value Alcon on L-T avg. multiples (30x P/E and 18x EBITDA), leading to our new CHF96 ($108) PO, ~17% upside potential (vs. CHF82 previously)."

For an analyst ratings summary and ratings history on Alcon Inc. click here. For more ratings news on Alcon Inc. click here.

Shares of Alcon Inc. closed at $92.35 yesterday.

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