| Resumo: | The present Master thesis aims to present a global description of the pharmaceutical industry and evaluate AstraZeneca. Company valuation is followed by a recommendation on the stock and a target price. Pharmaceutical industry has several unique features, due to its impact on public health. Those features will be assessed by analyzing the industry worldwide and by describing European pharmaceutical companies. AstraZeneca is a British multinational that operates in the pharmaceutical sector. The company is responsible for all the process of investigation, development, testing, production, advertising and selling of own medicines. The company develops its R&D activities in oncology, cardiology, gastrointestinal, infection, neuroscience, respiratory and inflammation. Among the medicines best sellers are Nexium, Crestor, Symbicort and Brilinta. Company shares quote on London Stock Exchange, Stockholm Stock Exchange and on New York Stock Exchange. It integrates FTSE 100 and OMX 30 country indices. Company valuation has been performed, using fundamental analysis, by the Discounted Cash Flow method and the Multiples method. Regarding the valuation of the company, historical data publically published from 2009 until 2014 was used. The forecasting period is 5 years, from 2015 to 2020. After evaluating the company, we conclude that the recommendation is HOLD, with a target price of ₤46.98.
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