The latest Market Talks covering the Health Care sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

0409 ET - Novartis shares still trade at premium to those in European pharmaceutical peers and the Swiss company needs to make progress on its drug pipeline to justify its valuation, Berenberg says. The drugmaker released results for its highly anticipated late-stage clinical trials a few days apart, with one hitting the goals and the other two missing them, Berenberg says. "Investor expectations for all three assets were high prompting a sharp negative--but fair--share price reaction," the analysts say. The next pipeline updates from Novartis include data from a late-stage study for remibrutinib in skin condition hidradenitis suppurativa and a midstage trial for QCZ484 in hypertension by year-end, they add. Berenberg lowers its target price on Novartis to 105 Swiss francs from 120 francs. Shares rise 0.6% to 112.80 francs. (adria.calatayud@wsj.com)

0110 ET - Rohto Pharmaceutical's earnings for this fiscal year may beat its full-year guidance on strong sales momentum for its mainstay brands in Japan and overseas, Nomura analysts say in a research report. Its earnings are likely to stay robust as Nomura sees tailwinds for the pharmaceutical company's distinctive high-quality, affordable products from growth in the dermocosmetics market and consumers trading down in response to inflation. The brokerage lifts this fiscal year's operating-profit forecast for the Japanese company to 46.5 billion yen from Y45.7 billion. It raises the stock's target price to 3,650.0 yen from Y3,300.0 with an unchanged buy rating. Shares are 0.4% lower at Y2,791.5. (ronnie.harui@wsj.com)

2200 ET - Malaysian glove sector's near-term outlook could be turning less cautious as cost pass-through improves, driven by rising selling prices and easing competition from China, says Maybank IB analyst Wong Wei Sum in a note. Glove prices have risen to between $19 and $20 per 1,000 pieces in September and could reach the $22-$23 range in October, helping offset higher raw-material costs, she says. Chinese competitor Intco Medical Technology has also raised prices, and higher coal costs there could further ease pressure from Chinese producers, she reckons. However, the extent of margin protection will depend on whether Malaysian glove makers can fully pass through higher costs without hurting volumes, she adds. Maybank keeps a neutral rating on the sector and rates Hartalega and Kossan Rubber Industries at hold. (yingxian.wong@wsj.com)

2120 ET - IHH Healthcare is likely to face minimal operational and financial impact from an unfavorable Tokyo court ruling for its unit Northern TK Venture, says Citi analyst Megat Fais in a note. The unit was ordered to bear litigation costs after the court dismissed its claims against Daiichi Sankyo. NTK filed the lawsuit in October 2023 alleging that it suffered damages, including suspension of a tender offer due to the interference of Daiichi Sankyo. Legal expenses, even of several million ringgit, would be small relative to IHH's more than 2 billion ringgit profit base, Fais says. Investors may remain focused on IHH's volume growth, margins, capacity expansion and earnings prospects across core markets, he adds. Citi has a buy rating and target price of 10.40 ringgit on IHH. Shares are unchanged at 7.89 ringgit. (yingxian.wong@wsj.com)

1930 ET - Fisher & Paykel Healthcare gains a bull in Citi, which thinks it offers investors both growth and reliable delivery. Citi expects "sustainable double-digit earnings growth in the midterm and lower exposure to consumer dynamics" from the medical-device maker than other healthcare stocks across Australia and New Zealand. It upgrades the stock to "buy" from "neutral." It raises its price target to NZ$51.00/share from NZ$40.00/share previously. The stock is down 1.3%, at NZ$43.37.