Trade the Recordati share!
RECORDATI

Analysis before buying or selling Recordati shares

Trade the Recordati share!
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Among the major European pharmaceutical groups, the Italian company Recordati is popular among investors worldwide. We would like to take a closer look at this stock and provide you with some essential information about it, such as its live price and its historical price.

Elements to consider before selling or buying Recordati shares

Analysis N°1

Given Recordati's sector of activity, health regulations and their evolution must be followed closely as they may impact its sales and production.

Analysis N°2

The introduction of new treatments and drugs is also an element that can influence this value and lead to an increase in its price.

Analysis N°3

It is necessary to keep abreast of all partnership or joint venture operations between Recordati and other companies in similar or different sectors.

Analysis N°4

Transactions aimed at establishing this company in other markets are transactions that may influence this value and must therefore necessarily be studied.

Analysis N°5

Obviously, we have to take into account the very strong competition in this sector of activity and in particular the competition from the large European pharmaceutical groups which are likely to take market share.

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General presentation of Recordati

The Italian Recordati Group develops, manufactures and markets pharmaceutical products. It mainly produces pharmaceuticals and OTC products, but also drugs for the treatment of rare diseases.

Recordati generates most of its turnover in Europe and Italy, but also reaches the American, African and Australian markets.

Recordati's share price is currently quoted on the Mercato Telematico Azionario market of the Borsa Italiana. It is also included in the calculation of the FTSE MIB stock market index.

Analysis before buying or selling Recordati shares
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The major competitors of Recordati

Let's now discover the main competitors of the Recordati Group in its market with the presentation of some giants of this pharmaceutical industry who are very present in Europe and particularly in Italy.

Roche 

The Swiss group Roche is currently the world leader in this sector with particularly interesting anti-cancer treatments, but which are now facing competition from biosimilars. The group's research and development budget now exceeds 11 billion dollars and Roche regularly makes strategic acquisitions of other companies, with no less than 4.6 billion dollars invested in this strategy in 2019.

Novartis 

Another giant in the pharmaceutical industry is of course the Novartis group, which has treatments for psoriasis, multiple sclerosis, macular degeneration, heart failure and cancer in its portfolio. Its research and development budget is also significant, at $9.1 billion per year. Like Roche, the group is based in Switzerland where its headquarters are located.

GSK 

The British company GSK or GlaxoSmithKline is also one of the leaders in this sector of activity in the world and in Europe, notably with treatments for asthma, bronchopneumonia, HIV and certain vaccines. The group spends an average of $5.2 billion on research and development each year and also regularly makes strategic moves such as acquisitions and partnerships to expand its market presence or increase profitability.

Sanofi 

Of course, there is also competition from the French giant Sanofi, which ranks among the top 10 companies in the world in this sector and operates treatments for diabetes, vaccines, immunology, rheumatoid arthritis and certain rare diseases. The group has a research and development budget of almost $7 billion each year.


The major partners of Recordati

We are now going to present two strategic partnerships that the Recordati Group has signed in the past and that will allow you to better understand the stakes of this type of alliance for the growth and development of the group:

Merck 

First of all, the group signed a strategic partnership a few years ago with the Merck group and with Pierre Fabre in Germany, with the aim of strengthening the latter's paediatric offer in this market. The collaboration of these two companies with Recordati focuses on the promotion of their leading brand in the treatment of diaper rash, which was then renewed and extended to two other products now presented to paediatricians by the German teams.

Opalia Pharma

Previously, in 2015, Recordati signed an important partnership with the Tunisian group Opalia Pharma. At that time, Recordati bought 90% of Opalia, allowing Tunisia to hope to become a hub for the pharmaceutical industry in English-speaking African countries, the MENA region and even Europe.

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Positive factors for Recordati shares
The factors in favour of a rise in the Recordati share price:

When making decisions and trading Recordati shares, you need to know a lot about the company, including its strengths and weaknesses. We therefore propose that you discover Recordati's strengths and weaknesses, which may have an influence on the company's ability to grow in the years to come.

Firstly, we propose to discover the strengths of the Recordati Group which tend to support its activity and its capacity for growth:

  • Firstly, the pharmaceutical sector as a whole is currently experiencing strong growth, which allows the companies operating in it to benefit from certain development opportunities.
  • The increase in life expectancy is also accompanied by a greater need for care and therefore also represents development opportunities for the Recordati Group.
  • Recordati's strong investments in the research and development sector and its strategic alliances in the search for new molecules and new medicines are of course also an undeniable strength of this group.
Negative factors for Recordati shares
The factors in favour of a drop in the Recordati share price:

It goes without saying that the Recordati Group also has weaknesses that can affect its profitability, which we will now explore in more detail:

  • First of all, although the pharmaceutical market is growing rapidly, it is also subject to very strong competition. In particular, Recordati faces direct competition from large Italian and European groups in its market and in the segments in which it is most present.
  • Legislation in terms of marketing authorisation for certain treatments or laws governing the reimbursement of these treatments may also affect the group's sales in the longer or shorter term.
  • Finally, the rare disease segment in which Recordati has chosen to position itself offers little added value with relatively low opportunities.
The information supplied here is only for indicative purposes and should not be used without the completion of a comprehensive and complete fundamental analysis of this asset notably taking into account exterior data, future publications and announcements and all fundamental events and news that could influence the strengths and weaknesses or make them more or less significant. This information does not in any way constitute recommendations relating to the completion of transactions or a solicitation to buy or sell an asset.

Frequently Asked Questions

When was Recordati founded?

The Recordati group originated when Giovanni Battista Recordati obtained the licence to practise pharmacy at the Royal Imperial University of Pavia in 1820, after taking over a former apothecary from Correggio in 1817. After his death in 1848, the pharmaceutical activity continued from generation to generation with, in particular, Angelo and then Luigi, who undertook the transformation of the pharmacy into a laboratory for the production of quinine with the aim of treating malaria, which was very prevalent in the region at the time, and who later created the tonic elixir Anabioscon.

On which market and which stock index is the Recordati share listed?

The Recordati Group's shares are, of course, one of the major shares on the Italian stock market. It is still listed on the Milan stock exchange, continuously and in real time. It should be remembered that this pharmaceutical company was floated on the stock exchange in 1984. Since then, its share price has of course risen sharply. It should also be noted that this company is included in the national benchmark stock market index, the FTSE MIB, as it is one of the largest Italian companies.

What are the results to follow for the Recordati action?

In order to anticipate future changes in Recordati's share price, it is essential to carry out a precise analysis of its financial results. This includes monitoring the group's turnover, net profit and operating margin, as well as the consistency of these results with analysts' forecasts and with the objectives set by the company itself.

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