Cochlear hosted an investor day on Friday at which no financial updates were provided. The company highlighted the opportunity presented by growth in adult uptake in developed markets along with new initiatives.
The broker sees a focus on increasing adult penetration as positive but sees the benefits as long-dated. In the nearer term to broker highlights risk to earnings from new competitor product launches. Combined with an elevated multiple, this leads to an Underperform rating being retained. Target unchanged at $170.
Sector: Health Care Equipment & Services.
Target price is $170.00.Current Price is $195.39. Difference: ($25.39) – (brackets indicate current price is over target). If COH meets the Macquarie target it will return approximately -15% (excluding dividends, fees and charges – negative figures indicate an expected loss).
