Those hoping to buy shares in S&P/ASX 200 Index (ASX: XJO) healthcare giant CSL Limited (ASX: CSL) for under $300 apiece appear to have missed their window. At least for now.
The stock bounced above the milestone last month after dipping as low as $273.40 earlier this year and to $254.30 in June 2022.
Today, the CSL share price is trading at around $305.26.
So, with those gains under its belt, could the biotechnology icon's stock be spent, or is it just warming up?
What's been going right for the ASX 200 healthcare giant?
Shares in CSL have long been considered defensive. That means the company's earnings will likely keep coming despite a broader economic slowdown.
Perhaps that's part of the reason why investors have been bidding the stock higher as of late. Rising rates and persistent inflation have likely left many turning towards the defensive end of the ASX.
Another reason behind the CSL share price's recent gains could be the company's earnings.
It grew its revenue by 19% in the first half and bolstered its interim dividend by 3% to $1.622 per share. Though, its net profit after tax (NPAT) slipped 8%.
And, fortunately for eager would-be investors, brokers think the ASX 200 healthcare share could continue growing from here.
Brokers remain bullish on CSL shares
Many brokers are expecting more gains from CSL shares in the coming months and years.
Morgans is one such broker. It tips the stock to surge to trade at $337.92 – a potential 10.7% upside, my Fool colleague James reports. The broker is said to have commented:
A key portfolio holding and key sector pick, we believe CSL is poised to break-out this year, a COVID exit trade, offering double-digit recovery in earnings growth as plasma collections increase, new products get approved and influenza vaccine uptake increases around ongoing concerns about respiratory viruses, with shares offering good value trading around its long-term forward multiple of ~30x.
Meanwhile, Morgan Stanley forecasts the stock to rise to $339 – 11% higher than it currently sits – amid growing plasma collection volumes.
Finally, UBS is hopeful, though less so. It was recently said to expect the CSL share price to rise to $330– representing a potential 8.1% upside.
