The CSL Ltd (ASX: CSL) share price is pushing higher in mid-afternoon trade on Thursday.
At the time of writing, shares in the biotech giant are up 1.82% to $145.46.
Despite today's modest rebound, CSL shares have been under heavy pressure recently. On Wednesday, the stock briefly fell to $142.40, marking its lowest level in more than 8 years.
That is a long way from the company's recent peak of $275.79 in late July 2025.
So, what has been weighing on this ASX healthcare giant?
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A difficult period for the CSL share price
CSL has experienced a sharp fall over the past year as a combination of weaker earnings momentum and leadership changes unsettled investors.
The company released its half-year results last month, reporting revenue of US$8.3 billion, down 4% year on year. Net profit also declined 7% to US$1.9 billion.
Management said the first-half result was impacted by several factors, including government policy changes, restructuring costs, and impairments.
However, the company expects conditions to improve in the second half. CSL said earnings growth should be supported by demand for its immunoglobulin therapies, albumin products, and newly launched medicines.
The company also announced an expansion of its share buyback program, increasing it from US$500 million to US$750 million.
Investor sentiment has also been affected by the departure of Chief Executive Officer Dr Paul McKenzie, who announced he would step down earlier this year.
Brokers suggest CSL shares could be undervalued
Despite the recent weakness, some analysts believe the CSL share price may now be trading at more attractive levels.
The team at UBS recently described CSL as a "market leader at a discount" after reviewing the company's latest results.
While plasma therapy sales experienced a short-term decline, CSL remains the largest global supplier with roughly 31% market share.
UBS also noted that the company continues to expand its differentiated product portfolio and has been increasing its presence in European markets.
The broker currently has a $235 price target on CSL shares. Based on the current share price, that suggests upside of more than 60%.
What next for CSL?
CSL remains the largest healthcare company on the ASX with a market capitalisation of roughly $70.5 billion.
The business operates across more than 40 countries and focuses on plasma therapies, vaccines, and specialty medicines used to treat serious medical conditions.
While the share price has fallen sharply from last year's highs, CSL continues to generate strong cash flow. The company is also investing heavily in research, manufacturing capacity, and its global plasma collection network.
The key question now is whether earnings growth can pick up again as CSL moves through this softer period.
