FY20 profit guidance is downgraded by up to -7% because of the impact of coronavirus in greater China. Management has not witnessed any impact outside of greater China and is not making any changes to the cost base.
While lowering FY20-22 estimates Morgans increases valuation multiples and the target rises to $222 from $207. Hold rating maintained.
Sector: Health Care Equipment & Services.
Target price is $222.00.Current Price is $236.47. Difference: ($14.47) – (brackets indicate current price is over target). If COH meets the Morgans target it will return approximately -7% (excluding dividends, fees and charges – negative figures indicate an expected loss).