Bernstein: Alcon a 'Top Long-term Compounder' Amid 'Transitory' Near-term Pressures

05:23 AM EDT, 09/24/2026 (MT Newswires) -- Bernstein sees Alcon (ALC.SW) as a "top long-term compounder," saying it views recent market pressure in the Swiss eye care company's intraocular lens, or IOL, segment as "transitory." "Alcon remains our preferred long-term idea in MedTech, supported by leading positions across attractive ophthalmology end-markets and a track record of innovation-led growth. While investors remain concerned about recent pressure in Implantables and near-term competitive headwinds from [Johnson & Johnson's (JNJ.F)] PureSee launch, the strength of Alcon's innovation engine, installed base and commercial execution should support a return to mid-single-digit growth," according to a Wednesday note focused on European consumer medtech companies. Amid expectations of "several tough quarters" for Alcon due to the PureSee US launch, the research firm said Alcon's track record with PanOptix Pro demonstrated its ability to regain market share. Bernstein expects a "similar pattern" for Vivity Pro in 2027. Additionally, analysts highlighted that a shift in Carl Zeiss Meditec's (AFX.F) IOL strategy confirmed that smaller rivals pose "limited threat." "While we are not excited about Q3 where the company will face pressure from the PureSee launch and continued softness in US cataract volumes, we think the current valuation of 17x NTM P/E reflects too much concern about the long-term health of the core IOL and consumables business. We therefore see long-term opportunity in a multi-year compounding business," the note said. Within this context, Bernstein maintained its outperform rating on the stock, with a price target of 76.15 euros. The research firm also trimmed its adjusted EPS assumptions for full-year 2026 and 2027 to 3.53 euros and 4.20 euros, respectively, from 3.57 euros and 4.21 euros.