GSK (GSK) – Pharmaceuticals
| Price: £18.09 -0.6% | P/E: 13.2x |
| Market Cap: £73.1bn | Yield: 3.6% |
GSK has signed a deal to lower the price of prescription dugs in the US, including medicines in its broad respiratory portfolio which are used to treat more than 40 million Americans suffering from conditions like asthma and COPD.
The agreement delivers on all four actions requested by President Trump in his 31 July, meaning GSK will lower the price of some medicines in Medicaid and will launch new products ‘with a more balanced pricing approach which recognises the value of innovation across developed nations’.
Our View
GSK isn’t the first company to cave to US pressure, and it won’t be the last by a long stretch.
In September, it announced plans to invest more than $30 billion in R&D and manufacturing in the US over the next five years, including $2 billion of new investment commitments in manufacturing facilities, AI and advanced digital technologies.
Read the press release here: https://www.gsk.com/en-gb/investors/
Disclaimer: This content is for information only and is not investment advice. Always do your own research before investing. Click here to see full disclaimer.
