Aug 16, 2023

Are CSL shares a post-results buy? Let’s find out what brokers are saying. James Mickleboro has been a Motley Fool contributor since late 2015. After studying economics at university back home in the United Kingdom, James came to live in Australia and managed to land a job at an Australian fund manager. This was the start of a love affair with Australian equities and he hasn't looked back since. James is part of the CFA Institute's Chartered Financial Analyst program and hopes it teaches him how to become an astute investor which allows him to help others with their own investing. Outside of reading and researching he spends many a late night watching the English Premier League and Seinfeld reruns. Latest posts by James Mickleboro ( see all ) Image source: Getty Images You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More The CSL Limited ( ASX: CSL ) share price was on fire yesterday. The biotherapeutics company’s shares stormed higher after investors responded positively to its FY 2023 results . As a reminder, CSL reported above-guidance net profit after tax before amortisation (NPATA) growth of 20% in constant currency to US$2.86 billion. It also reaffirmed its FY 2024 NPATA guidance for constant currency growth of approximately 13% to 17%. Can the CSL share price keep rising? A number of brokers have been running the rule over the CSL result and the general consensus was that it was a solid report. For example, the team at Macquarie has responded by retaining its outperform rating and $326.00 price target, Morgans has held firm with its add rating with an improved price target of $328.20, and UBS has stuck with its buy rating and $340.00 price target. The latter suggests that the CSL share price could rise almost 25% from current levels over the next 12 months. Staying neutral One broker that continues to sit on the fence, though, is Goldman Sachs . However, it appears to be warming up to the biotherapeutics leader. Goldman highlights that three “under-appreciated impacts” from FY 2023 were a slower decline in plasma collection costs, over-optimism on the Rika platform, and a softer performance from CSL Vifor. It feels that these impacts were “lingering effects of the pandemic” and sees “clear scope for improvement” in FY 2024 and beyond. For now, the broker is sticking with its neutral rating and $296.00 price target. This implies potential upside of approximately 9% from current levels. Goldman does appear to see current levels as attractive for investors. In fact, despite being neutral, it describes CSL shares as being oversold. It concludes: We continue to believe the shares look oversold (market-relative P/E has de-rated from 2.7x to 1.7x in the last 10 months, and our TP of $296 implies +9% upside from today’s close). Motley Fool contributor James Mickleboro has positions in CSL. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended CSL, Goldman Sachs Group, and Macquarie Group. The Motley Fool Australia has positions in and has recommended Macquarie Group. The Motley Fool has a disclosure policy . This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. More on Healthcare Shares