NEW YORK (TheStreet) -- Shares of Sanofi (SNY) - Get Sanofi Report are up 2.24% to $53.35 after the drug maker raised its earnings outlook as it reported an increase in second quarter profit on a strong showing by biotech unit Genzyme and stronger sales of its diabetes treatments, the Wall Street Journal reports.
The company said it expects business earnings per share--adjusted income excluding the impact of acquisitions and divestments--to be up by 6% to 8% this year, as business in emerging markets grows with sales of its vaccines and animal drugs.
In February, Sanofi said it expected business earnings per share to grow 4% to 7%, at constant exchange rates, in 2014, the Journal said.
Second quarter net profit surged 73% to 777 million euros ($1.04 billion) in the three months through June from 448 million euros a year ago.
Business net income increased by 3.9% to 1.54 billion euros.
Revenue for the quarter gained 0.9% to 8.08 billion euros, up from 8 billion euros a year ago
TheStreet Ratings team rates SANOFI as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate SANOFI (SNY) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, expanding profit margins and growth in earnings per share. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."