Pall’s BioPharma Innovation (PLL)

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Pall Corporation (PLL) introduced a new single use mixer for biopharmaceutical applications from pilot scale to full production mixing. The new product, known as the Pall Allegro™ 200L Single-Use Mixer, will be used for high-performance mixing.

The new introduction expanded Pall’s portfolio of Pall Allegro single-use solutions and services and developed the competence of critical mixing processes throughout the drug production cycle. The 200L mixer is used to mix a wide range of liquid-liquid and solid-liquid mixing applications, including compounding, formulation, buffer and media preparation, and pH/conductivity adjustment. The design of the mixer suits difficult mixing applications, including processes utilizing dense powders or high viscosities, or applications requiring repeatable, fast-mixing performance.

The demand for single use solutions is on rise due to the decline in timelines for drug development, increased safety requirements and more stringent validation guidelines. The Pall Allegro 200L Single-Use Mixer will help biopharmaceutical manufacturers in improving process efficiencies and speedup product arrival to market.

With well laid off growth plans and increasing demand for its technologies, Pall Corporation is well positioned to derive significant benefit as the economic conditions continue to strengthen. The company enjoys above-average financial returns and reasonable growth prospects as it leverages its highly engineered technology, reliable global distribution, high share in market niches, long and close working histories with customers, few competitors and solid product quality supplemented by technical service.

Pall’s Aeropower business derives significant benefits from the emerging markets, particularly in Asia. Key drivers include increasing passenger air miles flown, a ramp-up in US military budgets, new military and commercial aircraft, and demand for new aircraft and mobile construction equipment. In the long run, Pall will likely benefit from several secular trends, such as global infrastructure growth, increasing demand for water filtration systems and continued steady growth in the medical and pharmaceutical markets.

However, changes in product mix and product pricing may impact the company’s operating results, particularly with the expansion of the systems business. The company experiences significantly longer sales cycles in systems business with less predictable revenue and no certainty of future revenue streams from related consumable product offerings and services.

Based in New York, Pall Corporation was incorporated in July 1946. Along with its subsidiaries, Pall Corporation is a leading supplier of filtration, separation and purification technologies, and uses its engineering capability and fluid management expertise.

We currently maintain our Neutral rating on Pall Corporation for the long term, with a Zacks #2 Rank (short-term Buy recommendation) over the next one-to-three months.

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