Results in! What are brokers saying about the CSL share price?

Are CSL shares a post-results buy? Let's find out what brokers are saying.

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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 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 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 price target. This implies a 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.

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