Lonza Group Ltd

LONN: XSWX (CHE)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	CHF 531.00	Pbzzrg	Csyllcpg

Lonza Earnings: Demand for Outsourced Manufacturing Remains Strong; Positive Long-Term Outlook

Rachel Elfman

Jan 31, 2024

Lonza ended 2023 with solid sales of CHF 6.7 billion, representing growth of 7.9% year over year. Strong performance in the biologics and small molecules segments accounted for more than 70% of the company’s revenue and each segment delivered impressive margins of more than 30%. We maintain our fair value estimate of CHF 530 per share, and we view the stock as undervalued, currently trading in 4-star territory about 19% below our fair value estimate.

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