Deutsche Bank upgrades CSL to a Buy rating despite the blood plasma group's 'disappointing' decision to settle a long-running court battle in the US. The decision was viewed as a setback given the company's vehement denials of any wrongdoing. However, Deutsche analysts cite the stock as a buying opportunity, highlighting the robust industry fundamentals given solid demand and rising prices. The class action, which revolves around allegations CSL was involved in the price-fixing of blood plasma products in the US and Puerto Rico, will cost the company $US39mm after tax. Aside from this one-off cost, however, favourable conditions in Europe and the US indicate earnings will come in ahead of guidance. Deutsche has taken a bullish stance, forecasting an 8% rise in NPAT. The bank's 12-month price target on the stock has jumped by 2.9% to $71.
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