From Morningstar: 2024-11-01 07:00:09

Shares in Reckitt (RKT) surged over 10% after being cleared of liability in a case involving its baby formula. The court dismissed claims that the formula caused necrotizing enterocolitis. Although 1,000 similar cases are pending, Reckitt’s stock is up 8.57%. Morningstar metrics show a wide Economic Moat and Fair Value Estimate of £65.00. Investment director Russ Mould sees this as a “relief rally” for Reckitt, hinting at a possible sale of Mead Johnson. Reckitt is already selling some consumer brands and focusing on power bands like Gaviscon and Nurofen. Stock is trading at £51.02, below Morningstar’s Fair Value Estimate.



Read more at Morningstar: Reckitt ‘Relief Rally’ Leads Shares Higher as Firm…