Roche downgraded to Hold from Buy at Argus

Argus downgraded Roche to Hold from Buy. The company’s earnings and revenue prospects offer limited growth potential, and while Roche has a strong line-up of blockbuster products, many of which were acquired years ago through its purchase of Genentech, some of these drugs are maturing and face competition from biosimilars, the analyst tells investors in a research note. Argus adds it would consider upgrading the stock in the event of sustained margin growth, the launch of a new blockbuster product, or signs that earnings or revenue growth will begin to accelerate.