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.

0737 GMT - Straumann is facing several risks that could weigh on market sentiment and lead to a period of share-price consolidation, Deutsche Bank's Falko Friedrichs writes in a note. These include persistent high inflation and high interest rates--both of which could weigh on customer demand--and a potential slowdown in China. Additionally, the unexpected CEO transition--which happened shortly after the Swiss dental-implant company provided its new medium-term strategy--could also weigh on sentiment, Friedrichs says. The German bank downgrades its rating on the stock to hold from buy and cuts its target price to 99 Swiss francs from 119 francs. Shares are down 4% at 92.2 francs. (najat.kantouar@wsj.com)

0628 GMT - UltraGreen.ai's growth outlook is clouded by new competition, DBS Group Research's Amanda Tan says in a research report. Zydus Lifesciences can launch its generic indocyanine green product following approval by the U.S. Food and Drug Administration, the analyst notes. Provepharm has already launched its 'Zyogreen' product in the U.K. and is targeting further geographic expansion in the U.S., the analyst notes. The entry of two rivals suggests barriers to entry into indocyanine green products which UltraGreen.ai manufactures are less prohibitive than previously assumed. DBS downgrades the stock's rating to hold from buy and lowers its target price to $0.80 from $1.95. Shares are 7.4% lower at $0.69. (ronnie.harui@wsj.com)

1224 GMT - Moderna shares surging 176% on Wednesday may have been an overreaction from Wall Street to the strong results from Moderna and Merck's mRNA-based vaccine for melanoma patients, UBS analysts say. Moderna's valuation jumped to $70 billion; ascribing a modest valuation to the company's Covid-19 revenue, that would imply a $60 billion valuation to the vaccine alone, which would have to translate to $20 billion in annual sales, the analysts say. That could be unrealistically high, they say. The analysts maintain a $150 price target for Moderna after it closed at $174 on Wednesday. Shares slide 10% to $156.30 premarket. (dean.seal@wsj.com)

1127 GMT - Novonesis results show the group is pulling away from its peers, JPMorgan analysts write. The Danish producer of biological products like enzymes and probiotics notched organic sales growth of 9% on-year in the second quarter, topping analysts' expectations. The group also raised its outlook for 2026 sales growth. The results demonstrate "broad-based strength across" Novonesis, and the group's increasing competitive advantage, JPMorgan analysts write in a note to clients. "This beat-and-raise reaffirms Novonesis' unique and differentiated growth franchise." As a result, the company's faltering share price over the last year--down 1.9% for the last 12 months--looks hard to justify, they say. Shares jump close to 11%. (josephmichael.stonor@wsj.com)

0922 GMT - Merck KGaA's prescription drugs business is threatened by competition from Immunome and Sandoz, UBS analysts write. The Frankfurt-listed group's rare-cancer treatment Ogsiveo is less effective and convenient than an Immunome drug set for approval April 2027, the analysts note. Moreover, a generic copy of Merck's Erbitux cancer drug produced by Sandoz will hurt long-term revenue significantly more than the market is currently pricing in, they say. However, investors continue to have confidence in Merck's three divisions, and the stock is priced fairly, they say. UBS cuts its rating on the stock from buy to neutral, though it holds its price target at 150 euros. Shares fall 1.8% to 135.80 euros.(josephmichael.stonor@wsj.com)

0900 GMT - Moderna's breakthrough on a vaccine for skin cancer puts the drug maker on course to have more than seven products on the market by 2027-28, Jefferies' Andrew Tsai writes. The company is diversifying its portfolio across respiratory and cancer treatments and AI-designed drugs, the analyst says. Revenues for 2026 could grow by up to 10% on 2025's $1.9 billion baseline, the analyst says, putting the company on track to break even in 2028. The trial success in Moderna's experimental mRNA-based cancer vaccine could help drive sales from 2027, Tsai says. Moderna shares fall back 12% premarket after the company more than doubled its market value Wednesday.