3 models fit West Pharmaceutical Services Inc. Common Stock and they disagree: 0 of 3 land within 15% of the average. The price is above every model.
Two or more of our models back this value.
Large premium(i)Silver66
Valued as a mature, profitable company: Discounted cash flow, P/E comparison, EV/EBITDA comparison, Graham number, and Dividend discount.
ACCE opinionWest Pharmaceutical Services Inc. Common Stock (WST)
Fair value (3 models)
$156
ACCE price target
$329
Rating
Overvalued
Horizon
12 months
Fair value published on 21 Oct 2026, 12:04 CEST; previously $215 since 17 Oct 2026, 00:00 CEST.
ACCE price target published on 24 Sept 2026, 00:00 CEST.
Rating published on 21 Oct 2026, 12:04 CEST.
Price used: $392 at the close on 23 Oct 2026, 22:00 CEST.
Models: Discounted cash flow, P/E comparison, and EV/EBITDA comparison.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
151.9% above
-60.3% to fair value
ACCE score
65
out of 100
Analysts
94% buy
17 covering
P/E
50.4x
forward 37.5x
1-year return
+27.6%
Dividend yield
0.22%
West Pharmaceutical Services Inc. Common Stock in four questions
Plain answers, details below
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Overview
ACCE thesis
West Pharmaceutical Services makes the elastomer components that sit between a drug and the patient: stoppers and seals for vials and prefilled syringes, plus the Daikyo and self-injection device lines, many of them specified into biologics and GLP-1 injectables. Its moat is qualification rather than capacity: once a drug maker validates a West component in a filled container, switching means re-running stability and regulatory work, so contracts tend to persist for the life of the molecule. The near-term driver is the injectable boom, with demand for high-value prefilled syringes and autoinjectors growing faster than the broader pharma base. Revenue growth of 13.8% and a 22.5% operating margin show that this is still translating into profit, with ROE at 19.1%. The stock trades at 47.1 times trailing earnings and 36.8 times forward, so the premium already prices in sustained growth. It is not in any major index, which may limit passive demand, and the multiple leaves little room for a slowdown in injectable volumes or a reset in customer ordering.