At the AGM, Monash IVF noted a strong rebound from July to October. This was indicated by stimulated cycles growing by 23.1%, international up 16.2% and the Ultrasound business up 10.7%.
Morgans upgrades FY21-23 EPS forecasts by 11.7%, 7.7% and 1.6%, respectively, after increasing cycle volume growth assumptions.
The broker also increases dividend assumptions to 4 cents from 3 cents for FY21, and then growing by 10% per annum.
The Add rating is unchanged and the target is increased to $0.85 from $0.65.
Sector: Pharmaceuticals, Biotechnology & Life Sciences.
Target price is $0.85.Current Price is $0.74. Difference: $0.11 – (brackets indicate current price is over target). If MVF meets the Morgans target it will return approximately 13% (excluding dividends, fees and charges – negative figures indicate an expected loss).
