Exton, Pennsylvania-based West Pharmaceutical Services, Inc. (WST) designs, manufactures, and sells containment and delivery systems for injectable drugs and healthcare products. With a market cap of $18.5 billion, West Pharmaceutical’s operations span the Americas, Europe, the Middle East, Africa, and the Indo-Pacific.

Companies worth $10 billion or more are generally described as "large-cap stocks." West Pharmaceutical fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the medical instruments & supplies industry.

Despite its notable strengths, WST stock has plunged 26.7% from its 52-week high of $352.33 touched on Oct. 24, 2024. However, WST stock has soared 15.2% over the past three months, notably outperforming the Dow Jones Industrial Average’s ($DOWI) 7.6% gains during the same time frame.

Over the longer term, West Pharmaceutical’s performance has remained grim. WST stock is down 21.1% on a YTD basis and 13% over the past 52 weeks, underperforming the Dow’s 7.6% uptick in 2025 and 9.9% surge over the past year.

The stock has traded mostly below its 200-day moving average since February, with some fluctuations, but has remained above its 50-day moving average since June, underscoring its longer-term bearish trend and recent upturn.

West Pharmaceutical’s stock prices shot up 22.8% in a single trading session following the release of its robust Q2 results on Jul. 24. The quarter was marked with strong GLP-1 elastomer growth, solid momentum in HVP conversion, and continued normalization of customer ordering patterns. The company’s net sales for the quarter increased 9.2% year-over-year to $766.5 million, exceeding the consensus estimates by a notable 5.4%. Further, its non-GAAP EPS of $1.84 surpassed the Street’s expectations by 21.9%.

Moreover, the company raised its full-year revenue guidance from the previous $2.945 billion - $2.975 billion to $3.04 billion - $3.06 billion, along with a notable increase in EPS guidance, boosting investor confidence.

However, when compared to its peer, WST has underperformed ResMed Inc.’s (RMD) 19.2% surge on a YTD basis and 8.3% gains over the past year.

Nevertheless, the stock has a consensus “Strong Buy” rating among the 15 analysts covering it. Its mean price target of $319.25 represents a 23.6% premium to current price levels.