Virbac is trading in the red (-2.88% at 354 euros) and is heading for a third consecutive session of losses, despite a positive note from TP Icap Midcap. The broker maintained its buy rating and left its price target unchanged at 407 euros, representing a 12% upside potential.
Following discussions with management, analysts confirm that the group's 'historical outperformance is fully sustained and rests on clear and durable structural drivers'.
The 'Supercharges', where the group is concentrating its investments to accelerate growth, now account for between 40% and 50% of revenue and contribute more than two-thirds of growth, according to TP Icap Midcap. Specifically, 'these highly differentiated premium franchises display a growth and margin profile significantly superior to the rest of the portfolio', the analysts noted.
They also appreciate the animal health specialist's sustained momentum, fueled by strong R&D commitment in recent years, as well as targeted and disciplined acquisitions such as Thyronorm.
For the 2026 fiscal year, targets were confirmed with clearly identified growth drivers: the full-year contribution of 2025 launches (Vikaly, Prevexto, Trilotab, Ursolyx, swine and ruminant vaccines) and the continued integration of Thyronorm.
According to TP Icap Midcap, medium-term visibility (2027/2030) is supported by therapeutic nutrition, non-surgical reproduction, and the dental platform. These levers should allow the adjusted EBITDA margin to approach 20%.
Virbac specializes in the research, production and marketing of veterinary medicines. Net sales break down by family of products as follows:
- pet medications (60.7%): pest control drugs, vaccines, antibiotics, anesthetics, anti-inflammatory drugs, mouth/dental care products, ophthalmologic and dermatological products intended for dogs, cats, horses, birds, rodents, etc. The group also offers foods and electronic identification chips;
- livestock medications (39.3%): pest control drugs and antibiotics intended for cattle, sheep, pigs, poultry, etc.
Net sales are distributed geographically as follows: Europe (41.6%), Latin America (15.2%), North America (13.6%), India/Africa/Middle East (12.2%), Eastern Asia (10.5%) and Pacific (6.9%).
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